A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
| Parity | Equality. |
| Parking | Putting money into safe investments such as money market investments while deciding where to invest the money. In Internet, parking is the process by which someone selects a domain name, and "parks" it by registering the domain name under someone's name servers. |
| Passive Portfolio | A market index portfolio. |
| P/E Effect | Stocks with low PE ratios provide higher returns than stocks with higher PEs. |
| Pink Sheet/Penny Stocks | Daily listings of price quotations for thousands of over-the-counter securities not traded on Nasdaq. Published on pink paper by the National Quotation Bureau (a unit of Commerce Clearing House), the pink sheets list stocks that are smaller, newer, and generally riskier and less actively traded than those listed on Nasdaq and the other traditional exchanges. Penny stocks are highly speculative stocks that do not trade on any of the major exchanges. Penny stocks are prone to all sort of speculative bubbles, trading inefficiencies and other difficulties. They are quite risky |
| Pip/Point | The smallest unit of price for any foreign currency (e.g., for USD/CHF one point (or pip) equals .0001 Swiss Francs and for USD/JPY one point (or pip) equals 0.01 Japanese Yen).. |
| Point and Figure Chart | A chart, which plots only price. X's are place in boxes representing up days; and O's are placed in boxes representing down days. |
| Portfolio Management | The process of managing the assets of a mutual fund, including choosing and monitoring appropriate investments and allocating funds accordingly. |
| Portfolio Turnover | An annualized rate found by dividing the lesser of purchases and sales by the average of portfolio assets. |
| Position | The amount of a security either owned (a long position) or owed (a short position) by an investor or dealer. |
| Position Limit | The maximum number of listed option contracts on a single security which can be held by an investor or group of investors acting jointly. |
| Position trading | A style of trading characterized by holding open positions for an extended period of time. Contrast this with day trading, where a trader buys, then sells out of a position before the market closes that day. |
| Price-Earnings Ratio | Stock price divided by annual earnings per share. |
| Primitive Security, Derivative Security | A primitive security is an instrument such as a stock or bond for which payments depend only on the financial status of its issuer. A derivative security is created from the set of primitive securities in an attempt to yield returns that depend on factors beyond the characteristics of the issuer and that may be related to prices of other assets. |
| Principal | The person for whom a broker executes an order, or dealers buying or selling for their own accounts. The term principal may also refer to a person's capital or to the face amount of a bond. |
| Profit | The positive gain from an investment or business operation after subtracting for all expenses. |
| Profit Taking | Selling tradables that have appreciated since initial purchase in order to take advantage of the appreciation. |
| Program Trading | Trades based on signals from computer programs, usually entered directly from the trader's computer to the market's computer system. |
| Proxy | The process by which shareholders who cannot attend a fund's annual meeting vote by mail. |
| Pump-and-Dump | The unscrupulous attempt to hype a stock one is holding to get the price to rise, then selling as soon as it does. |
| Put Bond | A bond that can be redeemed on a date or dates prior to the stated maturity date by the bondholder. |
| Put Option | An agreement that gives an investor the right, but not the obligation, to sell a stock, bond, commodity or other instrument at a specified price within a specific time period. |
| Pyramiding | This means adding to initial positions once those initial positions are in profit. |