Cancelled: this is when the trade has been sent but is no longer in effect. The trade has been cancelled by the user or has expired after the end of the trading day.
Capital: is a broad term that can describe anything that confers value or benefit to its owners, for example the financial assets of a company or an individual.
Capitalization rate: shows the potential rate of return on the real estate investment. The higher the capitalization rate, the better for the investor. It is expressed as a percentage and is calculated based on the net income expected to be generated by the property.
Cash account: is an investment account in which the purchase or sale of assets requires the contribution of the necessary capital to finance the operation without depending on the use of margin.
Close Position: refers to the closing of an existing position in the market by taking the opposite position. The closing of a long position in a stock would imply its sale, while the closing of a short position in a stock would imply its repurchase.
Commission: known as brokerage commission, it is the commission paid for buying or selling shares in the investment industry.
Common stock: securities representing ownership of a company. The main characteristic of common stock is the right to vote on corporate policies, in addition to receiving benefits such as dividends.
Some companies with common stock on the New York Stock Exchange (NYSE) are:
- Apple (AAPL)
- Coca Cola (KO)
- Tecnoglass (TGLS)
Compound interest: is when the interest on a bank account, loan or investment is reinvested and causes the earnings to become exponential, rather than linear, over time.
Custody fee: is an amount charged by some intermediaries for "safekeeping" the investor's assets, be they stocks, Treasury bonds or others. Like the brokerage commission, there is no standard rate in the market.
Updated over 6 months ago