Right.A temporary privilege granted to existing common shareholders to purchase additional shares directly from the company at a stated price.
Rights of survivorshipIf two or more people own property jointly with rights of survivorship and one of the owners should die, the deceased owner's share of the property…
Rights offeringIn a rights offering, also known as a subscription right, a company offers existing shareholders the opportunity to buy additional shares of company stock…
RiskThe possibility of loss; the uncertainty of future returns.
Risk premiumA risk premium is one way to measure the risk you'd take in buying a specific investment.
Risk ratioSome investors and financial analysts try to estimate the risk an investment poses by speculating on how much the investment is likely to increase in…
Risk ToleranceThe degree to which you are willing to risk losing some (or all) of your original investment in exchange for a chance to earn a higher rate of return.
Risk-adjusted performanceWhen you evaluate an investment's risk-adjusted performance, you aren't looking simply at its straight performance figures but at those figures in…
Risk-free returnWhen you buy a US Treasury bill that matures in 13 weeks, you're making a risk-free investment in the sense that there's virtually no chance of losing…
RolloverIf you move your assets from one investment to another, it's called a rollover.
Rollover IRAA rollover IRA is an individual retirement annuity you create with tax-deferred assets you move from an employer sponsored retirement plan to a…
Roth 401(k)The Roth 401(k) retirement plan, which was introduced in 2006, allows you to make after-tax contributions to your account.
Roth 401(k) Savings PlanAfter-tax retirement savings plan offered through the South Carolina Deferred Compensation Program .
Roth IRAA Roth IRA is a variation on a traditional individual retirement account (IRA).
Round lotA round lot is the normal trading unit for stocks and bonds on an organized securities exchange or market, also called a trading platform.
Rule of 78A practice, called the Rule of 78, means that lenders front-load the interest they charge on a short-term loan to guarantee their profit if you pay off…
Rural Development (RD)(RD)The "Rural Development" mortgage program is governed by the USDA and is designed to promote homeownership in rural areas.
Russell 1000 IndexThis capitalization-weighted index, published by the Frank Russell Company of Tacoma, Washington, tracks the 1000 largest stocks that are included in the…
Russell 2000 IndexThe Russell 2000 Index, published by the Frank Russell Company of Tacoma, Washington, tracks the stocks of the 2,000 smallest companies in the Russell…
S&P (Standard and Poor's)A financial services company which is one of the best known bond rating agencies in the country.
Safe (or Safety) Deposit BoxA type of safe usually located in groups inside a bank vault and rented to customers for their use in storing valuable items.
SafekeepingA service provided by banks where securities and valuables are protected in the vaults of the bank for customers.
salaryCompensation received by an employee for services performed. A salary is a fixed sum paid for a specific period of time worked, such as weekly or monthly.
Salary reduction planA salary reduction plan is a type of employer-sponsored retirement savings plan. Typical examples are 401(k)s, 403(b)s, 457s, and SIMPLE IRAs.
Sale LeasebackIn a sale-leaseback arrangement - also known as a leaseback - an owner sells his or her property, and then immediately leases it back from the buyer as…
Sales chargeIn the case of mutual funds, these are commissions charged to purchasers of fund units, usually based on the purchase or redemption price.
Sales taxA sales tax is a tax imposed by state and local governments on transactions that occur within their jurisdictions.
Sallie MaeThis corporation purchases student loans from various lenders, such as banks, and packages the loans as bonds or short-term or medium-term notes.
Sarbanes-Oxley Act of 2002Named after its main Congressional sponsors, Senator Paul Sarbanes and Representative Michael Oxley, the Sarbanes-Oxley Act of 2002 introduced new…
Satisfaction of MortgageA document issued by a mortgagee (the lender) when a mortgage is paid in full.
Savings accountA savings account is a deposit account in a bank or credit union that pays interest on your balance-though some institutions require that you have at…
Savings bondsThe US government issues two types of savings bonds: Series EE and Series I. You buy electronic Series EE bonds through a Treasury Direct account for face…
Schedule C EmployeeOne who holds a Federal appointment for a position that is excepted from the competitive service because of its policy-determining nature or because it…
Scheduled itemsArticles such as jewelry, furs, stamps, coins, guns, computers, antiques, and other items that may exceed normal policy limits in your regular homeowner…
screenA screen is a set of criteria against which you measure stocks or other investments to find those that meet your criteria.
ScripScrip is a certificate or receipt that represents something of value but has no intrinsic value.
ScripophilyScripophily is the practice of collecting antique stocks, bonds, and other securities.
Second Lien Modification Program (2MP)(2MP)program that provides homeowners a way to modify their second mortgages to make them more affordable when their first mortgage is modified under the HAMP.
Second Mortgagea loan with a second-priority claim against a property in the event that the homeowner defaults.
Secondary marketWhen investors buy and sell securities through a brokerage account, the transactions occur on what's known as the secondary market.
Secondary Mortgage MarketThe market for buying and selling existing mortgages; this could be in the form of whole mortgage or MBS sales.
Secondary offeringThe most common form of secondary offering occurs when an investor, usually a corporation, but sometimes an individual, sells a large block of stock or…
SectorA sector is a segment of the economy that shares distinctive characteristics, such as telecommunications or energy.
Sector fundSector mutual funds, also called specialty or specialized funds, concentrate their investments in a single segment of an industry, such as biotechnology…
Sector Mutual FundA mutual fund that concentrates its investments in an industry, business, single country other than the United States, or bonds of a single State within…
Secular marketA secular market is one that moves in the same direction - up or down - for an extended period.
Secured bondThe issuer of a bond or other debt security may guarantee, or secure, the bond by pledging, or assigning, collateral to investors.
Secured credit cardA secured credit card is linked to a savings account you open with the bank or other financial institution offering the card.
Secured LoanA secured loan is a loan that's guaranteed with collateral, such as a home or car.
securities actLegislation regulating the underwriting, distribution and sale of securities.
Securities and Exchange Commission (SEC)The Securities and Exchange Commission (SEC) is an independent federal agency that oversees and regulates the securities industry in the United States and…
Securities Investor Protection Corporation (SIPC)The Securities Investor Protection Corporation (SIPC) is a nonprofit corporation created by Congress to insure investors against losses caused by the…
Securities LendingA carefully collateralized process of loaning portfolio positions to custodians, dealers, and short sellers who must make physical delivery of positions.
SecuritizationSecuritization is the process of pooling various types of debt - mortgages, car loans, or credit card debt, for example - and packaging that debt as…
SecurityThe term "security" covers a broad variety of financial instruments, including stock, promissory notes, bonds, debentures, limited partnership interests…
Security InterestThe creditor’s right to take property or a portion of property offered as security.
Self RegistrationFDM allows users to register themselves to use the FDM reporting system using their CAC.
Self-amortizing loanA self-amortizing loan is one that's paid off over a specific period of time as the borrower makes regular installment payments.
Self-Amortizing LoansLoans in which periodic payments of principal and interest are scheduled over the life of the loan.
Self-directed retirement planIf you participate in a salary reduction retirement plan, such as a 401(k) or a 403(b), you usually must select the investments into which your…
self-employment lossSelf-employment income minus self-employment expenses, when self-employment income is less than self-employment expenses.
self-employment profitSelf-employment income minus self-employment expenses, when self-employment income is greater than self-employment expenses.
self-employment taxSimilar to Social Security and Medicare taxes. The self-employment tax rate is 15.3 percent of self-employment profit.
Self-regulatory organization (SRO)All securities and commodities exchanges in the United States are self-regulatory organizations (SROs), as is NASD.
Sell shortSelling short is a trading strategy that's designed to take advantage of an anticipated drop in a stock's market price.
Sell sideBrokerage firms and other financial services companies that buy and sell investments as agents for retail investors as well as for their own accounts are…
Sell-offA sell-off is a period of intense selling of securities and commodities triggered by declining prices.
Senior bondSenior bonds offer slightly lower interest rates than subordinated or junior bonds because they are considered less risky.
Senior Legal Counsel (SLC)A term referring to senior ethics officials in a command, organization, or agency.
Senior Preferred Stock Purchase Agreement (PSPA)(PSPA)Entered into at the time the conservatorships were created, the PSPAs authorize the Enterprises to request and obtain funds from Treasury, which in turn…
Separate accountAn insurance company's separate account is established to hold the premiums you use to purchase funds included in variable annuity contracts the company…
Separate account fundEach variable annuity contract offers a number of separate account funds. Each of those funds owns a collection of individual investments chosen by a…
Series 6The Series 6 is a licensing examination that you must pass to be entitled to sell mutual funds and variable annuities to investors.
Series 63The Series 63 is a licensing examination that most states require for anyone who wants to sell securities within the state.
Series 7To be licensed to sell securities to individual investors, brokers must pass the Series 7 exam, also called the General Securities Registered…
Service ChargeA charge assessed by a depository institution for processing transactions and maintaining accounts.
Service CreditA member’s earned service, prior service, and/or purchased service.
Service Fee Per MonthThe monthly fee that is charged to the account holder under the terms of the account. Also called a maintenance fee.
Servicemen’s Readjustment ActEnacted in 1944 and also known as the GI Bill, this Act offered veterans of the Second World War educational and financial benefits, including long-term…
ServicerA business, often a bank or mortgage company, that accepts and records mortgage payments from borrowers, negotiates workout plans and supervises the…
Set-up feeA fee that may be charged when you open a new credit card account.
SettlementAfter negotiating, the amount you agree to accept from the insurance company as full payment for your loss.
Settlement (or Closing) CostsFees paid at a loan closing. May include application fees; title examination, abstract of title, title insurance, and property survey fees; fees for…
Settlement agentIn some states, a settlement agent, or closing agent, handles the real estate transaction when you buy or sell a home.
Settlement dateThe date on which a securities buyer must pay for a purchase or a seller must deliver the securities sold.
Settlement OptionOne of several ways, other than immediate payment in a lump sum, in which the insured or beneficiary may choose to have the policy proceeds paid.
Sewer Back-up and Sump Pump Overflow CoverageCoverage available for an additional premium to your homeowners insurance policy that pays for damage caused by sump pump failure or sewer back-up.
SF 278 FilerPerson required to file the SF-278 disclosure report under the authority of the Ethics in Government Act of 1978, as amended (and for DoD employees, the…
SF 278 of RecordThe official version of the filer's SF 278 report that is complete and subject to release upon proper request.
shareShare means the basic unit of capital of a Connecticut credit union. Members may receive dividends based on the number of shares held.
Share AccountCredit unions call savings accounts share accounts because at a credit union you are a part owner of the credit union.
Share CertificateA form of savings instrument where the member agrees to maintain the deposit in the credit union for a specific period of time in exchange for interest…
Share classSome stocks and certain mutual funds subdivide their shares into classes or groups to designate their special characteristics.
Share Draft AccountCredit unions call checking accounts share draft accounts. Share draft accounts are a transaction accounts.
ShareholderIf you own stock in a corporation, you are a shareholder of that corporation. You're considered a majority shareholder if you alone or in combination with…
sharesA document signifying part ownership in a company. The terms "share" and "stock" are often used interchangeable.
Sharpe ratioUsing the Sharpe ratio is one way to compare the relationship of risk and reward in following different investment strategies, such as emphasizing growth…