Liquidity •
The type of assets that can be converted into cash in case of need quickly without much loss of value.
Limit Order/Price •
A trading order of stocks and securities which specify that the trade be executed only at a pre-determined price or higer.
Stock Index •
A collection of securites which is used to determine the stock market trends. Example is Sensex and Nifty, which tracks price of 30 large company stocks and 50 stocks in BSE and NSE respectively.
Growth Fund •
Mutual fund that invests in stocks showing potential for capital appreciation.
Equity Investing •
Becoming an owner or part owner of a company or a piece of property through investments such as stock, growth mutual funds, or real estate.
Dividend Reinvestment Plans (DRIPs) •
This option lets investors reinvest what they get in the form of dividends back into the share market.
Dividends •
Companies pay shareholders a part of the profit from investments as a gesture of supporting the company called dividends.
Direct Purchase Plans (DPPs) •
The stocks of a company from the first share which can be bought directly from the company, instead of buying through a broker.
Discount Broker •
Brokers who help trading in shares at a lower price than normal trade brokers are called discount brokers
Diversification •
Diversification is the policy followed by most investors while investing assets so that the loss in one segment do not affect the whole portfolio.
