Glossary of Terms

The information presented here is not intended as financial, investment, tax or legal advice and is provided for educational purposes only.
Value Funds
Mutual funds that invest in stocks that are believed to be priced below what they are really worth, based on fundamental factors. Managers of value funds believe such stocks will, in time, appreciate and realize their true value. Value stocks may continue to be inexpensive for long periods of time and may never realize their full value.
Value Investing
A strategy for equity investing that emphasizes stock with below-average price-to-book ratios, but above-average dividend yields.
Variable Rate Demand Note
A debt instrument that represents borrowed funds. As a demand note, the lender can request repayment at any time — and interest accrues at prevailing market rates, which vary over time.
The variability of returns in a security or portfolio over time. Volatility is measured by the standard deviation of returns of the investment. See Standard Deviation.

Total number of shares traded in the most recent trading day.

Trading volume that's much larger than a company's average volume is typically caused by news, rumors or institutional buying and selling.