Plain-English definitions for the terms you'll encounter on your financial journey.
American Depositary Receipt is a way for you to buy shares of a foreign company, such as a Japanese car manufacturer, through a U.S. stock exchange just like you would buy shares of a local business.
Trading that occurs on electronic networks after the major stock exchanges have officially closed for the day.
An unsecured debt security that tracks an underlying index and trades on a major stock exchange.
Initial Public Offering is the first time a private company sells shares of its stock to the general public on a stock exchange. This is the moment a company 'goes public,' allowing everyday investors to buy ownership in the business for the first time.
Master Limited Partnership: This is a type of business structure that is traded on public stock exchanges but is taxed like a partnership, often used by energy companies like those moving oil or gas. It is designed to pass profits directly to investors without the company itself paying a corporate income tax first.
A regulated marketplace where traders and investors buy and sell stocks, bonds, and other securities.