Glossary Of Trading


A company - usually an investment bank, investment fund or consortium of such - that buys or guarantees the sale of an entire issue of a share or bond from a company in order to then sell it to the public. Governments do not usually issue bonds to underwriters. It is rare for a company to undertake an initial public offering without one.

US Treasuries

Bonds issued by the US Treasury to cover government expenses. US Treasury Bills usually have an expiration period of less than a year, notes from 1 to 10 years, and bonds - 10 years and longer.

Used Margin

The amount of equity dedicated to maintaining all open positions. Not to be confused with REQUIRED margin - the amount of equity required to OPEN a new position.


An illegal or predatory loan subject to exorbitant interest levels, often issued in the belief that the borrower will not be able to repay the loan.