Market-On-Open Order (MOO)
What is a Market-on-Open Order (MOO)? A market-on-open (MOO) order is used to execute a trade when the market opens, or very shortly after, at the day’s opening price. For MOO orders, the share price for the trade must be equal to the opening price recorded that morning. Market-on-open orders are not made with a...
Trading Instruments
What are Trading Instruments? Trading instruments are all the different types of assets and contracts that can be traded. Trading instruments are classified into various categories, some more popular than others. They range from equities and forward contracts to indices, currencies, and more. The Most Popular Trading Instruments Popular trading instruments usually see high trading...
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...
Underperform
What Does Underperforming Mean? In a general sense, underperforming refers to performing poorly or unsatisfactorily in comparison to expectations or when evaluated against a certain standard. For example, one can perform poorly by failing an exam at school (or receiving a score below the class average), indicating an underperformance compared to the rest of the...
Sell in May and Go Away
What is Sell in May and Go Away? Sell in May and Go Away refers to a well-known adage in the business and financial world. The phrase refers to an investment strategy for stocks based on the theory that the stock market underperforms in the six-month period between May and October. In contrast, the period...
