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https://www.investopedia.com/terms/s/synthetic.asp
Synthetic
Synthetic What is Synthetic? Synthetic is the term given to financial instruments that are engineered to simulate other instruments while altering key characteristics. Often synthetics will offer investors tailored cash flow patterns, maturities, risk profiles and so on. Synthetic products are structured to suit the ne...
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https://www.investopedia.com/terms/s/synthetic_call.asp
Synthetic Call
Synthetic Call What is a Synthetic Call? A synthetic call is an options strategy that uses stock shares and put option to simulate the performance of a call option. This gives the investor a theoretically unlimited growth potential with a specific limit to the amount risked. Key Takeaways A synthetic call is an optio...
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https://www.investopedia.com/terms/s/syntheticdividend.asp
Synthetic Dividend
Synthetic Dividend What Is a Synthetic Dividend? A synthetic dividend is an investment strategy in which investors use various financial instruments to create a stream of income mimicking that provided by dividend-paying companies. A common example of this strategy consists of selling covered call options against a por...
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https://www.investopedia.com/terms/s/systemic-risk.asp
Systemic Risk
Systemic Risk What Is Systemic Risk? Systemic risk is the possibility that an event at the company level could trigger severe instability or collapse an entire industry or economy. Systemic risk was a major contributor to the financial crisis of 2008. Companies considered to be a systemic risk are called "too big to fa...
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https://www.investopedia.com/terms/t/henry-paulson.asp
Henry Paulson
Henry Paulson Who is Henry Paulson? Henry Paulson, the 74th Secretary of the U.S. Treasury, served under President George W. Bush between July 2006 and January 2009. Before his tenure as Secretary of the Treasury, Henry “Hank” Paulson, Jr. worked for Goldman Sachs for 32 years, including his time as the chairman and ...
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https://www.investopedia.com/terms/t/t-shares.asp
T Shares
T Shares What Are T Shares? T shares are a relatively new class of lower-cost mutual fund shares, meant to provide less expensive access to fund management for investors by imposing lower maximum sales loads paid to brokers or advisors. The “T” stands for “transaction.” (Don't confuse this new T share class, with the T...
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https://www.investopedia.com/terms/t/tacticalassetallocation.asp
Tactical Asset Allocation (TAA)
Tactical Asset Allocation (TAA) What Is Tactical Asset Allocation (TAA)? Tactical asset allocation is an active management portfolio strategy that shifts the percentage of assets held in various categories to take advantage of market pricing anomalies or strong market sectors. This strategy allows portfolio managers to...
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https://www.investopedia.com/terms/t/tafoe.asp
Total Annual Fund Operating Expenses
Total Annual Fund Operating Expenses What Are Total Annual Fund Operating Expenses? Total annual fund operating expenses are a fund's costs, such as management and transaction fees and 12b-1 fees, reported as a percentage of the fund’s total assets. Total annual fund operating expenses are required to be disclosed to i...
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https://www.investopedia.com/terms/t/taguchi-method-of-quality-control.asp
Taguchi Method of Quality Control
Taguchi Method of Quality Control What Is the Taguchi Method of Quality Control? The Taguchi method of quality control is an approach to engineering that emphasizes the roles of research and development (R&D), product design and development in reducing the occurrence of defects and failures in manufactured goods. This ...
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https://www.investopedia.com/terms/t/tailgating.asp
Tailgating
Tailgating What is Tailgating? Tailgating is when a broker, financial advisor or another sort of investing agent buys or sells a security for a client, and then proceeds to make the same transaction for himself. While tailgating is not an illegal practice, it is frowned upon and considered unethical by professionals in...
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https://www.investopedia.com/terms/t/tailrisk.asp
Tail Risk
Tail Risk What Is Tail Risk? Tail risk is a form of portfolio risk that arises when the possibility that an investment will move more than three standard deviations from the mean is greater than what is shown by a normal distribution. Tail risks include events that have a small probability of occurring, and occur at bo...
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https://www.investopedia.com/terms/t/takaful.asp
Takaful
Takaful What Is Takaful? Takaful is a type of Islamic insurance wherein members contribute money into a pool system to guarantee each other against loss or damage. Takaful-branded insurance is based on sharia or Islamic religious law, which explains how individuals are responsible to cooperate and protect one another. ...
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https://www.investopedia.com/terms/t/take-profitorder.asp
Take-Profit Order - T/P
Take-Profit Order - T/P What is a Take-Profit Order (T/P) A take-profit order (T/P) is a type of limit order that specifies the exact price at which to close out an open position for a profit. If the price of the security does not reach the limit price, the take-profit order does not get filled. Key Takeaways Take-pr...
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https://www.investopedia.com/terms/t/takeout-value.asp
Takeout Value
Takeout Value What Is Takeout Value? Takeout value is a company's estimated value if it were to be taken private or acquired. Various financial metrics are applied to determine how much the company might go for, including cash flows, assets, earnings, and multiples used in similar takeovers. The current mergers and acq...
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https://www.investopedia.com/terms/t/takeover-artist.asp
Takeover Artist
Takeover Artist What Is a Takeover Artist? A takeover artist is an investor or a company whose primary goal is to identify companies that are attractive to buy and that can then be turned around to make a quick profit. A takeover artist will usually use a lot of debt (leverage) to make the purchase, and restructure the...
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https://www.investopedia.com/terms/t/takeover.asp
Takeover
Takeover What Is a Takeover? A takeover occurs when one company makes a successful bid to assume control of or acquire another. Takeovers can be done by purchasing a majority stake in the target firm. Takeovers are also commonly done through the merger and acquisition process. In a takeover, the company making the bid ...
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https://www.investopedia.com/terms/t/takeoverbid.asp
Takeover Bid
Takeover Bid What Is a Takeover Bid? A takeover bid is a type of corporate action in which a company makes an offer to purchase another company. In a takeover bid, the company that makes the offer is known as the acquirer, while the subject of the bid is referred to as the target company. The acquiring company generall...
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https://www.investopedia.com/terms/t/takingthestreet.asp
Taking the Street
Taking the Street What is Taking the Street Taking the street is the practice of quickly buying a dominant position in one stock with the intention of selling the stock, often to the same institutions from which it was purchased, at a profit. Taking the street is a practice which might appear to be a useful low-risk, s...
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https://www.investopedia.com/terms/t/talf.asp
Term Asset-Backed Securities Loan Facility (TALF)
Term Asset-Backed Securities Loan Facility (TALF) What is Term Asset-Backed Securities Loan Facility (TALF)? Term Asset-Backed Securities Loan Facility, or TALF, was a program created by the U.S. Federal Reserve in November, 2008 to boost consumer spending in order to help jumpstart the economy. It did this by issu...
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https://www.investopedia.com/terms/t/tangible-common-equity.asp
Tangible Common Equity (TCE)
Tangible Common Equity (TCE) What Is Tangible Common Equity (TCE)? Tangible common equity (TCE) is a measure of a company's physical capital, which is used to evaluate a financial institution's ability to deal with potential losses. Tangible common equity is calculated by subtracting intangible assets (including goodwi...
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https://www.investopedia.com/terms/t/tangibleasset.asp
Tangible Asset
Tangible Asset What Is a Tangible Asset? A tangible asset is an asset that has a finite monetary value and usually a physical form. Tangible assets can typically always be transacted for some monetary value though the liquidity of different markets will vary. Tangible assets are the opposite of intangible assets which ...
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https://www.investopedia.com/terms/t/tape-reading.asp
Tape Reading
Tape Reading What Is Tape Reading? Tape reading is an old technique that day traders used to analyze the price and volume of a given stock. From roughly the 1860s through the 1960s, stock prices were transmitted over telegraph lines on ticker tape that included a ticker symbol, price, and volume. These technologies wer...
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https://www.investopedia.com/terms/t/taper-tantrum.asp
Taper Tantrum
Taper Tantrum What Is the Taper Tantrum? The phrase, taper tantrum, describes the 2013 surge in U.S. Treasury yields, resulting from the Federal Reserve's (Fed) announcement of future tapering of its policy of quantitative easing. The Fed announced that it would be reducing the pace of its purchases of Treasury bonds, ...
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https://www.investopedia.com/terms/t/tapingrule.asp
Taping Rule
Taping Rule What Is the Taping Rule? The taping rule requires special monitoring of FINRA-registered persons with a troubled history and firms that hire such individuals in large numbers. More formally known as Financial Industry Regulatory Authority Rule 3170, "Tape Recording of Registered Persons by Certain Firms," t...
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https://www.investopedia.com/terms/t/target-date_fund.asp
Target-Date Fund
Target-Date Fund What Is a Target-Date Fund? Target-date funds are mutual fund or exchange-traded funds (ETFs) structured to grow assets in a way that is optimized for a specific time frame. The structuring of these funds addresses an investor's capital needs at some future date—hence, the name "target date." Most ofte...
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https://www.investopedia.com/terms/t/target-hash.asp
Target Hash
Target Hash What Is a Target Hash? In cryptocurrency mining, a target hash is a numeric value that a hashed block header must be less than or equal to in order for a new block to be awarded to a miner. The target hash is used in determining the difficulty of the input and can be adjusted in order to ensure that blocks ...
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https://www.investopedia.com/terms/t/target-payout-ratio.asp
Target Payout Ratio
Target Payout Ratio What is the Target Payout Ratio? A target payout ratio is a measure of the percentage of a company's earnings it would like to pay out to shareholders as dividends over the long-term. Firms are conservative in setting their target dividend payout ratio with the goal of being able to maintain a stabl...
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https://www.investopedia.com/terms/t/target-rate.asp
Target Rate Definition
Target Rate Definition What Is a Target Rate? Also known as an operating target, a target rate is a key interest rate in an economy that the central bank uses to guide and gauge the effectiveness of its monetary policy. The target rate is an intermediate target that the bank can directly influence by its monetary polic...
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https://www.investopedia.com/terms/t/tarp-bonuses.asp
TARP Bonuses
TARP Bonuses What Are TARP Bonuses? A TARP bonus refers to (in a pejorative way) the bonuses paid out to executives and traders in investment banks involved in the financial crisis of 2008. The Troubled Asset Relief Program (TARP) used tax money, which was designed to purchase troubled assets on the balance sheets of b...
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https://www.investopedia.com/terms/t/tax-advantaged.asp
Tax-Advantaged
Tax-Advantaged What Is Tax-Advantaged? The term “tax-advantaged” refers to any type of investment, financial account, or savings plan that is either exempt from taxation, tax-deferred, or that offers other types of tax benefits. Examples of tax-advantaged investments are municipal bonds, partnerships, UITs, and annuiti...
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https://www.investopedia.com/terms/t/tax-and-price-index.asp
Tax And Price Index (TPI)
Tax And Price Index (TPI) What Does Tax And Price Index Mean? The tax and price index (TPI) is a measure of the percentage that a consumer's income must rise in order for them to maintain the same level of purchasing power. The tax and price index (TPI) takes into account changes in retail prices due to inflation, as w...
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https://www.investopedia.com/terms/t/tax-arbitrage.asp
Tax Arbitrage
Tax Arbitrage What Is Tax Arbitrage? Tax arbitrage is the practice of profiting from differences that arise from the ways various types of income, capital gains, and transactions are taxed. The complexity of many countries tax codes allows for individuals to seek out legal loopholes or restructure their transactions in...
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https://www.investopedia.com/terms/t/tax-clawback-agreement.asp
Tax Clawback Agreement
Tax Clawback Agreement What is a Tax Clawback Agreement A tax clawback agreement is an arrangement whereby the tax benefits received from a given venture are reinvested into that venture to cover any cash shortages. A tax clawback is just one of many types of similar arrangements that cover various distributions such a...
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https://www.investopedia.com/terms/t/tax-deductible-interest.asp
Tax Deductible Interest
Tax Deductible Interest What Is Tax Deductible Interest? Tax-deductible interest is a borrowing expense that a taxpayer can claim on a federal or state tax return to reduce taxable income. Types of interest that are tax deductible include mortgage interest for both first and second (home equity) mortgages, mortgage int...
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https://www.investopedia.com/terms/t/tax-drag.asp
Tax Drag
Tax Drag What Is Tax Drag? Tax drag is the reduction of potential income due to taxes. The concept describes the loss in returns, usually on an investment, as a result of taxation. Tax drag is commonly used when describing the difference between an investment vehicle that is tax-sheltered and one that is not. Understan...
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https://www.investopedia.com/terms/t/tax-freespinoff.asp
Tax-Free Spinoff
Tax-Free Spinoff What Is a Tax-Free Spinoff? A tax-free spinoff refers to a corporate action in which a publicly traded company spins off one of its business units as an entirely new company without tax implications. This type of transaction is deemed to be "tax-free" because the parent company is still able to divest ...
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https://www.investopedia.com/terms/t/tax-lien-foreclosure.asp
Tax Lien Foreclosure
Tax Lien Foreclosure What Is a Tax Lien Foreclosure? Tax lien foreclosure is the sale of a property resulting from the property owner's failure to pay their tax liabilities. A tax lien foreclosure occurs when the property owner has not paid the required taxes, including property taxes and federal and state income taxes...
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https://www.investopedia.com/terms/t/tax-relief.asp
Tax Relief
Tax Relief What Is Tax Relief? Tax relief is any government program or policy initiative that is designed to reduce the amount of taxes paid by individuals or businesses. It may be a universal tax cut or a targeted program that benefits a specific group of taxpayers or bolsters a particular goal of the government. Key ...
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https://www.investopedia.com/terms/t/tax_avoidance.asp
Tax Avoidance
Tax Avoidance What Is Tax Avoidance? Tax avoidance is the use of legal methods to minimize the amount of income tax owed by an individual or a business. This is generally accomplished by claiming as many deductions and credits as are allowable. It may also be achieved by prioritizing investments that have tax advantage...
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https://www.investopedia.com/terms/t/taxable-municipal-bond.asp
Taxable Municipal Bond
Taxable Municipal Bond What Is Taxable Municipal Bond? A taxable municipal bond is a fixed-income security issued by a local government, such as a city, county, or related agency, to finance projects that the federal government will not subsidize, and it is not tax exempt. Key Takeaways A taxable municipal bond is a f...
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https://www.investopedia.com/terms/t/taxable-preferred.asp
Taxable Preferred Securities
Taxable Preferred Securities What are Taxable Preferred Securities? Taxable preferred securities refers to preferred stock whose dividend payments are not exempt from taxation. Key Takeaways Taxable preferred securities refers to preferred stock whose dividend payments are not exempt from taxation.Taxable preferred se...
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https://www.investopedia.com/terms/t/taxableevent.asp
Taxable Event
Taxable Event Taxable Event: An Overview A taxable event is any action or transaction that may result in taxes owed to the government. Common examples of federal taxable events include receiving a payment of interest and dividends, selling stock shares for a profit, and exercising stock options. Receipt of a paycheck i...
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https://www.investopedia.com/terms/t/taxation.asp
Taxation
Taxation What Is Taxation? Taxation is a term for when a taxing authority, usually a government, levies or imposes a financial obligation on its citizens or residents. Paying taxes to governments or officials has been a mainstay of civilization since ancient times. The term "taxation" applies to all types of involuntar...
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https://www.investopedia.com/terms/t/taxbase.asp
Tax Base
Tax Base What Is a Tax Base? A tax base is a total amount of assets or income that can be taxed by a taxing authority, usually by the government. It is used to calculate tax liabilities. This can be in different forms, including income or property. 1:14 Tax Base Understanding the Tax Base A tax base is defined as th...
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https://www.investopedia.com/terms/t/taxcredit.asp
Tax Credit
Tax Credit What Is a Tax Credit? A tax credit is an amount of money that taxpayers can subtract directly from taxes owed to their government. Unlike deductions, which reduce the amount of taxable income, tax credits reduce the actual amount of tax owed. The value of a tax credit depends on the nature of the credit; cer...
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https://www.investopedia.com/terms/t/taxevasion.asp
Tax Evasion
Tax Evasion What Is Tax Evasion? Tax evasion is an illegal activity in which a person or entity deliberately avoids paying a true tax liability. Those caught evading taxes are generally subject to criminal charges and substantial penalties. To willfully fail to pay taxes is a federal offense under the Internal Revenue ...
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https://www.investopedia.com/terms/t/taxexemptcommercialpaper.asp
Tax-Exempt Commercial Paper
Tax-Exempt Commercial Paper What Is Tax-Exempt Commercial Paper? Tax-exempt commercial paper is unsecured short-term debt where the bondholder does not pay federal, state, or local taxes on the interest payments. Key Takeaways Tax-exempt commercial paper is unsecured short-term debt where the bondholder does not pay f...
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https://www.investopedia.com/terms/t/taxgainlossharvesting.asp
Tax-Loss Harvesting
Tax-Loss Harvesting What Is Tax-Loss Harvesting? Tax-loss harvesting is the selling of securities at a loss to offset a capital gains tax liability. This strategy is typically employed to limit the recognition of short-term capital gains. Short-term capital gains are generally taxed at a higher federal income tax rate ...
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https://www.investopedia.com/terms/t/taxhome.asp
Tax Home
Tax Home What Is a Tax Home? A tax home is the general locality of an individual's primary place of work. It is the city or general vicinity where his or her primary place of business or employment is located, regardless of the location of the individual's residence. An individual’s tax home has an effect on his/her ...
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https://www.investopedia.com/terms/t/taxpayer-identification-number.asp
Taxpayer Identification Number (TIN)
Taxpayer Identification Number (TIN) What Is a Taxpayer Identification Number (TIN)? A taxpayer identification number (TIN) is a unique nine-digit number used to identify an individual, business, or other entity in tax returns and other documents filed with the Internal Revenue Service (IRS). A TIN is typically either ...
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https://www.investopedia.com/terms/t/taxpayer-relief-act-of-1997.asp
Taxpayer Relief Act of 1997
Taxpayer Relief Act of 1997 The Taxpayer Relief Act of 1997: An Overview The Taxpayer Relief Act of 1997 is one of the largest tax-reduction acts in U.S. history. The legislation reduced tax rates and introduced some new tax credits that remain in place today. Now-familiar concepts such as the child tax credit and the ...
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https://www.investopedia.com/terms/t/taxreturn.asp
Tax Return
Tax Return What Is a Tax Return? A tax return is a form or forms filed with a tax authority that reports income, expenses, and other pertinent tax information. Tax returns allow taxpayers to calculate their tax liability, schedule tax payments, or request refunds for the overpayment of taxes. In most countries, tax ret...
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https://www.investopedia.com/terms/t/taxshelter.asp
Tax Shelter
Tax Shelter What Is a Tax Shelter? A tax shelter is a vehicle used by individuals or organizations to minimize or decrease their taxable incomes and, therefore, tax liabilities. Tax shelters are legal, and can range from investments or investment accounts that provide favorable tax treatment, to activities or transacti...
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https://www.investopedia.com/terms/t/taxshield.asp
Tax Shield Definition
Tax Shield Definition What Is a Tax Shield? A tax shield is a reduction in taxable income for an individual or corporation achieved through claiming allowable deductions such as mortgage interest, medical expenses, charitable donations, amortization, and depreciation. These deductions reduce a taxpayer's taxable income...
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https://www.investopedia.com/terms/t/taxtable.asp
Tax Table
Tax Table What Is a Tax Table? A tax table is a chart that displays the amount of tax due based on income received. The tax rate in the table may be shown as a discrete amount, a percentage rate, or a combination of both. Tax tables are used by individuals, companies, and estates for both standard income and capital ga...
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https://www.investopedia.com/terms/t/taxtreaty.asp
Tax Treaty
Tax Treaty What Is a Tax Treaty? A tax treaty is a bilateral (two-party) agreement made by two countries to resolve issues involving double taxation of passive and active income of each of their respective citizens. Income tax treaties generally determine the amount of tax that a country can apply to a taxpayer's incom...
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https://www.investopedia.com/terms/t/taxyear.asp
Tax Year
Tax Year What Is a Tax Year? A tax year is the 12-month calendar year covered by a tax return. In the U.S., the tax year for individuals runs from Jan. 1 to Dec. 31 and includes taxes owed on earnings during that period. Taxes withheld or owed for earnings during the calendar year 2020, for example, would be included o...
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https://www.investopedia.com/terms/t/tcioci.asp
Composite Index of Coincident Indicators
Composite Index of Coincident Indicators What Is Composite Index of Coincident Indicators? The Composite Index of Coincident Indicators is an index published by the Conference Board that provides a broad-based measurement of current economic conditions, helping economists, investors, and public policymakers to determin...
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https://www.investopedia.com/terms/t/technical-analysis-of-stocks-and-trends.asp
Guide to Technical Analysis
Guide to Technical Analysis What Is Technical Analysis? Technical analysis is the study of historical market data, including price and volume. Using insights from market psychology, behavioral economics, and quantitative analysis, technical analysts aim to use past performance to predict future market behavior. The two...
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https://www.investopedia.com/terms/t/technical-job-skills.asp
Technical Job Skills
Technical Job Skills What Are Technical Job Skills? Technical job skills, sometimes referred to as hard skills, are specific talents and expertise an individual possesses, helping him perform a certain task or job. These differ from soft skills, which instead describe character and personality traits. Technical skills ...
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https://www.investopedia.com/terms/t/technical-skills.asp
Technical Skills
Technical Skills What Are Technical Skills? Technical skills refer to the specialized knowledge and expertise needed to accomplish complex actions, tasks, and processes relating to computational and physical technology as well as a diverse group of other enterprises. Those who possess technical skills are often referre...
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https://www.investopedia.com/terms/t/technicalanalysis.asp
Technical Analysis
Technical Analysis What Is Technical Analysis? Technical analysis is a trading discipline employed to evaluate investments and identify trading opportunities by analyzing statistical trends gathered from trading activity, such as price movement and volume. Unlike fundamental analysis, which attempts to evaluate a secur...
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https://www.investopedia.com/terms/t/technicalindicator.asp
Technical Indicator
Technical Indicator What Is a Technical Indicator? Technical indicators are heuristic or pattern-based signals produced by the price, volume, and/or open interest of a security or contract used by traders who follow technical analysis. By analyzing historical data, technical analysts use indicators to predict future pr...
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https://www.investopedia.com/terms/t/technicallyweakmarket.asp
Technically Weak Market
Technically Weak Market What Is a Technically Weak Market? A technically weak market reflects the fragile signals or negative data points from money flow or technical analysis that contribute to the overall fragility of the market. Common indicators that can show whether a technically weak market exists include looking...
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https://www.investopedia.com/terms/t/technology-media-and-communications-tmc-sector.asp
Technology, Media, and Telecom (TMT) Sector
Technology, Media, and Telecom (TMT) Sector What Is the Technology, Media, and Telecom (TMT) Sector? The technology, media, and telecom (TMT) sector is an industry grouping that includes the majority of companies focused on new technologies. There is a substantial overlap between TMT and the 1990s idea of the new econo...
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https://www.investopedia.com/terms/t/teenie.asp
Teenie
Teenie What Is a Teenie A teenie, in trading, is a measure of value representing one-sixteenth of one basis point. A basis point is one-hundredths of a percent. Key Takeaways A teenie is one-sixteenth of a basis point, where a basis point represents one-hundredth of a percent.Prior to decimalization, a teenie was the ...
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https://www.investopedia.com/terms/t/tefra.asp
Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA)
Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA) The Tax Equity and Fiscal Responsibility Act of 1982 The Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA) is federal legislation passed in 1982 to cut the budget deficit through federal spending cuts, tax increases, and reform measures. The legislation re...
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https://www.investopedia.com/terms/t/telefile.asp
Telefile
Telefile What Was Telefile? Telefile was a service created by the federal government and some state governments that allowed taxpayers to file their taxes over the phone. The federal government's Telefile system was provided by the IRS from 1997 to 2005. Telefile allowed taxpayers filing IRS form 1040EZ to phone...
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https://www.investopedia.com/terms/t/telephone-bonds.asp
Telephone Bond
Telephone Bond What is Telephone Bond? Telephone bonds are debt securities, so named because they were issued by early telephone companies to raise funds for capital expenditures. Key Takeaways Telephone bonds are debt securities, so named because they were issued by early telephone companies to raise funds for capita...
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https://www.investopedia.com/terms/t/temasek-holdings.asp
Temasek Holdings
Temasek Holdings What Is Temasek Holdings? Temasek Holdings is a sovereign wealth fund (SWF)—a state-owned company—that manages an investment fund on behalf of the Government of Singapore. Using federal reserves, it focuses on investments located in Singapore, China, and North America, as well as Europe and some emergi...
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https://www.investopedia.com/terms/t/tenancy-at-sufferance.asp
Tenancy at Sufferance
Tenancy at Sufferance What Is Tenancy at Sufferance? Tenancy at sufferance is an agreement in which a property renter is legally permitted to live on a property after a lease term has expired but before the landlord demands the tenant vacate the property. If a tenancy at sufferance occurs, the original lease conditions...
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https://www.investopedia.com/terms/t/tenancy-at-will.asp
Tenancy-at-Will
Tenancy-at-Will What Is a Tenancy-at-Will? A tenancy-at-will is a property tenure that can be terminated at any time by either the tenant or the owner/landlord. It exists without a contract or lease and usually does not specify the duration of a tenant’s rental or the exchange of payment. The agreement is governed by s...
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https://www.investopedia.com/terms/t/tenancy-by-the-entirety.asp
Tenancy by the Entirety
Tenancy by the Entirety What Is Tenancy by the Entirety? The term tenancy by the entirety refers to a form of shared property ownership that is reserved only for married couples. A tenancy by the entirety essentially permits spouses to jointly own property as a single legal entity. This means that each spouse has an eq...
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https://www.investopedia.com/terms/t/tenancy_in_common.asp
Tenancy in Common – TIC
Tenancy in Common – TIC What Is Tenancy in Common – TIC? Tenancy in common is an arrangement where two or more people share ownership rights in a property or parcel of land. The property may be commercial or residential. When a tenant in common dies, the property passes to that tenant's estate. Each independent owner m...
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https://www.investopedia.com/terms/t/tenbagger.asp
Tenbagger
Tenbagger What is Tenbagger? A tenbagger is an investment that appreciates to 10 times its initial purchase price. The term “tenbagger” was coined by legendary fund manager Peter Lynch in his book "One Up On Wall Street." While tenbagger can describe any investment that appreciates or has the potential to increase ten-...
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https://www.investopedia.com/terms/t/tender-panel.asp
Tender Panel
Tender Panel What Is a Tender Panel? In finance, the term "tender panel" refers to a method of selling euro notes by way of a revolving underwriting facility (RUF). Tender panels are groups of commercial banks and investment banks that are commissioned by a borrower. They are formed to help finance projects by soliciti...
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https://www.investopedia.com/terms/t/tender.asp
Tender
Tender What Is a Tender? A tender is an invitation to bid for a project or accept a formal offer such as a takeover bid. Tendering usually refers to the process whereby governments and financial institutions invite bids for large projects that must be submitted within a finite deadline. The term also refers to the proc...
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https://www.investopedia.com/terms/t/term-auction-facility.asp
Term Auction Facility (TAF)
Term Auction Facility (TAF) What Is the Term Auction Facility? The Term Auction Facility (TAF) was a monetary policy used by the Federal Reserve to increase liquidity in the U.S. credit markets. The TAF began following the financial crisis of 2007. It allowed the Federal Reserve to auction set amounts of collateral-bac...
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https://www.investopedia.com/terms/t/term-certain-method.asp
Term Certain Method
Term Certain Method What Is the Term Certain Method? The term certain method is a way to calculate minimum distributions that should be taken from a retirement account each year based on the account owner's life expectancy. Its primary use is in determining the amounts to be paid to investors who purchase a term certai...
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https://www.investopedia.com/terms/t/term-federal-funds.asp
Term Federal Funds
Term Federal Funds What are Term Federal Funds? Term federal funds are balances purchased in Federal Reserve accounts for more than a single day. Term federal funds generally mature between two days and one year. Banks and related financial institutions may need to obtain these funds when their borrowing needs last f...
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https://www.investopedia.com/terms/t/term-payment-plan.asp
Term Payment Plan
Term Payment Plan What Is a Term Payment Plan? A term payment plan is a type of payment plan for receiving reverse mortgage proceeds that provide a homeowner with equal monthly payments for a set period of time. The term payment plan has an adjustable interest rate that changes as the market interest rates change, and ...
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https://www.investopedia.com/terms/t/termdeposit.asp
Term Deposit
Term Deposit What Is a Term Deposit? A term deposit is a fixed-term investment that includes the deposit of money into an account at a financial institution. Term deposit investments usually carry short-term maturities ranging from one month to a few years and will have varying levels of required minimum deposits. The ...
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https://www.investopedia.com/terms/t/terminalelevator.asp
Terminal Elevator
Terminal Elevator What Is a Terminal Elevator? A terminal elevator is a location for the bulk physical transfer of agricultural commodities. In commodities trading, physical delivery of a futures contract's underlying asset will be standardized by an exchange to be received at a particular location, often called a term...
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https://www.investopedia.com/terms/t/terminalyear.asp
Terminal Year
Terminal Year What Is Terminal Year? A terminal year is a year in which an individual dies, in the context of estate planning and taxation. The term terminal year is used in estate planning and taxation because special tax rules and handling of income and assets may apply during the taxpayer's final year. Key Takeaways...
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https://www.investopedia.com/terms/t/termloan.asp
Term Loan
Term Loan What Is a Term Loan? A term loan is a loan from a bank for a specific amount that has a specified repayment schedule and either a fixed or floating interest rate. A term loan is often appropriate for an established small business with sound financial statements. Also, a term loan may require a substantial dow...
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https://www.investopedia.com/terms/t/terms-and-conditions-credit-card.asp
Terms And Conditions (Credit Card)
Terms And Conditions (Credit Card) What Are Credit Card Terms And Conditions? Terms and conditions for a credit card is a formal statement of the rules and guidelines that govern the relationship between a credit card issuer and a credit cardholder. The document containing a card’s terms and conditions sometimes goes b...
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https://www.investopedia.com/terms/t/termsheet.asp
Term Sheet
Term Sheet What Is a Term Sheet? A term sheet is a nonbinding agreement that shows the basic terms and conditions of an investment. The term sheet serves as a template and basis for more detailed, legally binding documents. Once the parties involved reach an agreement on the details laid out in the term sheet, a bindin...
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https://www.investopedia.com/terms/t/termtomaturity.asp
Term to Maturity
Term to Maturity What Is Term to Maturity? A bond's term to maturity is the length of time during which the owner will receive interest payments on the investment. When the bond reaches maturity the principal is repaid. Key Takeaways A bond's term to maturity is the period during which its owner will receive interest...
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https://www.investopedia.com/terms/t/terotechnology.asp
Terotechnology
Terotechnology What Is Terotechnology? Terotechnology is a practice that leverages management, engineering, and financial expertise to optimize installation, operations, and upkeep of equipment. Terotechnology is derived from the Greek root word "tero" or "I care," which is used with the term "technology" to refer to t...
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https://www.investopedia.com/terms/t/testamentary-will.asp
Testamentary Will
Testamentary Will What Is a Testamentary Will? A testamentary will is a traditional will, aka last will and testament. It is a legal document that is used to transfer an estate to beneficiaries after the death of the person who makes the will, or the testator. Testamentary wills are also used to appoint guardians for m...
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https://www.investopedia.com/terms/t/texas-ratio.asp
Texas Ratio
Texas Ratio What Is a Texas Ratio? The Texas ratio was developed to warn of credit problems at particular banks or banks in particular regions. The Texas ratio takes the amount of a bank's non-performing assets and divides this number by the sum of the bank's tangible common equity and its loan loss reserves. A ratio o...
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https://www.investopedia.com/terms/t/texas-sharpshooter-fallacy.asp
Texas Sharpshooter Fallacy
Texas Sharpshooter Fallacy What Is the Texas Sharpshooter Fallacy The Texas Sharpshooter Fallacy is when outcomes are analyzed out of context, giving the illusion of causation rather than attributing the outcomes to chance. The Texas Sharpshooter Fallacy fails to take randomness into account when determining cause and ...
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https://www.investopedia.com/terms/t/the_greatest_generation.asp
The Greatest Generation
The Greatest Generation What Is the Greatest Generation? The Greatest Generation is a term used to describe those Americans who grew up during the Great Depression and fought in World War II, or whose labor helped win it. The term "the Greatest Generation" is thought to have been coined by former NBC Nightly News ancho...
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https://www.investopedia.com/terms/t/theodore-w-schultz.asp
Theodore W. Schultz
Theodore W. Schultz Who Was Theodore W. Schultz? Theodore W. Schultz, who went by the name Ted Schultz, was born on April 30, 1902 and died on Feb. 26, 1998. He was an American Nobel Prize recipient, an economist, and the Chair of Economics at the University of Chicago. He is most famous for developing the Human Capita...
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https://www.investopedia.com/terms/t/theoreticalexrightsprice.asp
Theoretical Ex-Rights Price – TERP
Theoretical Ex-Rights Price – TERP What Is a Theoretical Ex-Rights Price – TERP? A theoretical ex-rights price (TERP) is the market price that a stock will theoretically have following a new rights issue. Companies may use a new rights issuance to offer more shares to shareholders, usually at a discounted price. Stock ...
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https://www.investopedia.com/terms/t/thin-file.asp
Thin File
Thin File What Is a Thin File? A "thin file" refers to the credit report of someone with little or no credit history. Consumers who are just starting out and may never have taken out a loan or had a credit card are said to have thin files. Key Takeaways A person with little or no credit history is said to have a thin...
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https://www.investopedia.com/terms/t/thinly-traded.asp
Thinly Traded
Thinly Traded What Is Thinly Traded? Thinly traded securities are those that cannot be easily sold or exchanged for cash without a significant change in price. Thinly traded securities are exchanged in low volumes and often have limited numbers of interested buyers and sellers, which can lead to volatile changes in pri...
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https://www.investopedia.com/terms/t/thinmarket.asp
Thin Market
Thin Market What Is a Thin Market? A thin market on any financial exchange is a period of time that is characterized by a low number of buyers and sellers, whether it's for a single stock, a whole sector, or the entire market. In a thin market, prices tend to be volatile. A thin market is also known as a narrow market....
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https://www.investopedia.com/terms/t/third-party-insurance.asp
Third-Party Insurance
Third-Party Insurance What Is Third-Party Insurance? Third-party insurance is an insurance policy purchased for protection against the claims of another. One of the most common types is third-party insurance is automobile insurance. Third-party offers coverage against claims of damages and losses incurred by a driver w...
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https://www.investopedia.com/terms/t/third-party-technique.asp
Third-Party Technique
Third-Party Technique What Is the Third-Party Technique? The third-party technique is a marketing strategy used by public relations firms. It utilizes the media to propagate positive messaging about a client. The third-party technique may take many forms, but generally involves utilizing journalists to promote a compan...