Saturday, February 13, 2010

Investing Jargon


Bottom Line    Bottom line is the slang which is used for net income or profit.      
Bottom Up Investing     An investment approach that de-emphasizes the significance of economic and market cycles. This approach focuses on the analysis of individual stock.        
Bull & Bear    A bull refers to an investor who thinks the market, a specific security, or an industry will rise. While, a bear is an investor who thinks the market, a specific security, or an industry will fall.        
Dividends  Dividends refer to the cash payment from profits of the company that is announced by the Company’s Boards of Directors to be distributed among the stockholders.      
Panic Buying    The term refers to high volume buying brought about by sharp price increases. This happens mainly due to some news which is spread in the market.        
Panic Selling    The term refers to high volume selling brought about by sharp price decline. It happens when the market collides.