PREFACE

I was waiting in my bank to see one of the vice-presidents when I overheard the following conversation between one of the bank’s advisors and a young couple who were obviously considering investments.

Banker: "Let’s see how much money you have to invest and if we should set you up with one of our financial advisors.”

The young woman: “Excuse me but what would the advisor present to us.”

Banker: “Different investment choices. For example, there are annuities if you are thinking about your retirement age.”

The young man: “I am thinking of a nest egg for a rainy day situation.”

The young woman: "Could you explain annuities? Since we have received this small inheritance I was hoping for some monthly income.

Banker: "Annuities are one option. But if you want presently income you might consider commercial papers.”

The young woman: "I hate to interrupt, but is there a list of all the different types of investments?"

Banker: "There are lists. I am sure you have heard of stocks, bonds, cryptocurrency, precious metals such as gold. You may want to study each category."

And there I thought is a real need, a list of financial terms that investors could have at their fingertips before they invest in bonds, stocks, the money instrument market, cryptocurrency, real estate or anything else in the world of finance.

At this point you might ask what about the internet? You know, google for a quick why and wherefore. The answer is where business investment is concerned it is never one word but a series of words, a classed grouping. Here is a concrete example. You probably know the word bond. But you want a solid definition. You look it up on line under business. A definition of what the word bond means in the business world pops up. There will probably also pop up a list of the popular bonds and institutions which sell them. But you don’t get the other vocabulary you need at your fingertips to explain what you hope to get out of a bond investment. Such words as par, long coupon, premium bond, extension swap, or effective yield are only a small sample of words that help you to invest successfully in bonds.

Assume this young couple had had a list and a simple definition of every type of business investment and all the terms related to each type of investment at their fingertips. They could express better their particular needs when talking to the banker. They also would know what alternatives are available if their financial advisor does not offer them what they want.

TO INVEST SUCCESSFULLY: TERMS YOU NEED AT YOUR FINGERTIPS covers each financial subject such as stocks, money instruments, cryptocurrency, real estate, insurance or loans in separate chapters. The words in each chapter are in alphabetical order so that you can not only find a term within a subject quickly but also get a feel of all terms needed to express yourself well on that particular subject. This book only is intended to expose and define financial language and not to advise the reader how to invest. The most important words are included all defined in clear cut words.

Suppose you come across a word that piques your interest and you don’t know to which category it belongs. You simply look the word up in TO INVEST SUCCESSFULLY:TERMS YOU NEED AT YOUR FINGERTIPS’s index which will guide you to the proper chapter.

Our recent and continual economic fluctuations have given birth to many new financial terms. Other terms are not as new, but seem to be because we are using them more due to present financial and economic situations.

Whether new, rarely used or often used, these terms have all been gathered in this book and defined in clear and simple terms. Hopefully it will make the ins and outs of the financial world and its jargon more meaningful.