Indexed Annuity
What is an Indexed Annuity? An indexed annuity is a financial product that pays out a return based on the performance of a linked index. The contract is backed by an insurance company and is popular among retirees because it provides a relatively steady stream of income with downside risk protection. However, it also severely...
Fill or Kill (FOK)
What is Fill or Kill (FOK)? A fill or kill (FOK) order is a conditional order requiring the transaction to be executed immediately and to its full amount at a stated price. If any of the conditions are broken, then the order must be automatically canceled (kill) right away. Brokers usually use the FOK type...
Wrap Account
What is a Wrap Account? A wrap account refers to an investment account that is managed by a broker for a flat annual fee. The flat annual fee, which ranges from 1% to 3% of assets under management (AUM), covers all expenses related to managing the account, such as administration, commission, management expenses. Understanding a...
Near Term
What is “Near Term”? The phrase “near term” is used to describe and/or refer to a period that is not too far into the future. In essence, “near term” describes events that are likely to occur soon. The phrase is commonly used to depict the time frame during which a change or event is anticipated...
KBW Bank Index
What is the KBW Bank Index? The KBW Bank Index serves as a benchmark that is used to track the performance of leading banking institutions and publicly-traded assets in the United States. The KBW Index comprises 24 banking equities/stocks that represent regional banks, thrift institutions, and/or national money centers in the United States. Hence, the...
