1
The lowest amount someone is currently willing to pay for a security
Ask
Accounts that are not part of a retirement plan
Nonqualified accounts
The highest amount someone is currently willing to pay for the security
Bid
When a company buys its own outstanding shares in the open market from existing shareholders
Buyback
Name all Fill Restrictions
FOK
IOC
AON
Name all Time Restrictions
Day Order
GTC Order
Market at open or market at close order
The most that someone will pay for the stock and establishes the bid
Highest buy limit
Limited POA that a stockholder gives to another person, transferring the right to vote on the stockholder's behalf
Proxy
The least someone will sell their stock at and establishes the ask
Lowest sell limit
AN offer to buy a security directly from the owners of the security and not through a secondary market
Tender offer
ownership stipulates that a deceased tenant's interest in the account passes to the surviving tenants
Joint Tenants With Rights of Survivorship (JTWROS)
Two or more adults are named on the account as co-owners, with each being allowed some form of control over the account
Joint Account
an instruction given to a broker to buy or sell a security on behalf of an investor
Order
What are the 3 options a stockholder has when they receive rights?
buy, sell, let it expire
Ownership provides that a deceased tenant's fractional interest in the account is retained by that tenant's estate and is not passed to the surviving tenants
Tenants in Common (TIC)
A trust that is created and funded by the grantor during the grantor's lifetime
Living Trust
What settles in 2 business days?
Corporate issues, Municipal debt, Agency securities, GSE securities such as FNMA & FHLMC
Someone who is ____ the security hopes that the security will rise in value and that they will be able to sell it later for a profit
Long, Bullish
What are the 2 types of custodial accounts
UTMA & UGMA
An unincorporated association of two or more individuals
partnership
Any person legally appointed and authorized to represent another person, act or her behalf, and make whatever decisions are necessary to the prudent management of her account
Fiduciary
WHen a customer withdraws and takes possession of IRA assets and then returns the assets back to an IRA within 60 calendar days
Rollover
When a grantor forms a trust that cannot be modified
Irrevocable Trust
Allows customers to increase their trading capital by borrowing either cash or securities through their BD's
Trading on Margin
The pledging of customer securities as collateral for margin loans.
Hypothecation