Common Vocabulary in Stock Market :
Annual Report:
An annual report is a yearly report that every company prepares to impress the shareholders of their company. The annual report consists of lots of information about a company, from cash flow to management strategy.Several people read the annual report to look at the company’s solvency and judge their financial position.
Arbitrage:
Arbitrage means purchasing something like foreign money from one place and selling it to another place where the price of the foreign money is higher than buying place.
Averaging Down:
Averaging down means the investor buys more stock when the price of a particular stock goes down. This decreases the average purchase price of your specific stock.Several investors use this strategy if they feel that consensus about a specific company is wrong, so they expect the stock price to jump back and earn profit.
Bear Market:
It is a market where investors talk about the stock market performing in a downward trend, or it is a certain period where the prices of multiple stocks are falling.
Broker:
A broker is a person who buys and sells investment on your behalf and, in exchange, takes a certain amount of money called commission or fee.