Navigating the world of financial advice can feel overwhelming, especially with the sea of complex terms and industry jargon. That’s why we’ve created this comprehensive glossary of general financial advisory terminology. Whether you’re a seasoned investor or just starting to explore your financial journey, this resource is designed to simplify key concepts like “Fiduciary,” “Fee-Only,” “AUM,” and more. Our goal is to empower you with the knowledge to make informed decisions with confidence. Dive in and demystify the language of finance!
Understanding financial terminology is the first step toward mastering your personal or professional finances. This glossary goes beyond definitions, offering clear explanations and practical examples to make these concepts come alive. By breaking down complex language and linking it to real-world applications, we aim to bridge the gap between confusion and clarity. With this resource at your fingertips, you’ll be equipped to confidently navigate the financial landscape and engage with your advisors on a deeper level. Let’s decode the jargon together!
- 401(k)
- Accredited Investor
- Actuarial Tables
- Alpha (Performance Measure)
- Annuity
- Asset Allocation
- AUM (Assets Under Management)
- Basis Point (0.01% = 1 bp)
- Bear Market
- Beneficiary
- Beta (Market Risk Measure)
- Blue-Chip Stocks
- Bull Market
- Capital Gains
- Cash Flow Management
- CFA (Chartered Financial Analyst)
- CFP (Certified Financial Planner)
- Charitable Remainder Trust (CRT)
- Compliance Officer
- Compound Interest
- Covered Call
- Credit Rating
- Custodian
- Debt-to-Income Ratio
- Default Risk
- Defined Benefit Plan
- Defined Contribution Plan
- Deflation
- Derivatives
- Disability Insurance
- Diversification
- Dividend
- Dollar-Cost Averaging
- Efficient Frontier
- Emergency Fund
- Equities (Stocks)
- Estate Freeze
- Estate Tax
- ETF (Exchange-Traded Fund)
- Expense Ratio
- Federal Reserve
- Fiduciary
- Fiduciary Duty
- Financial Plan
- FINRA (Financial Industry Regulatory Authority)
- Fixed Income (Bonds)
- Form ADV
- GDP (Gross Domestic Product)
- Grantor
- Hedge Fund
- HNWI (High-Net-Worth Individual)
- Index Fund
- Inflation
- Interest Rate Risk
- IRA (Individual Retirement Account)
- KYC (Know Your Client)
- Liability
- Liquidity
- Load (Front-End/Back-End)
- Long-Term Care Insurance
- Margin Account
- Market Capitalization
- Market Cycle
- Modern Portfolio Theory
- Monetary Policy
- Monte Carlo Simulation
- Mortality Risk
- Mutual Fund
- Net Worth
- Pension Plan
- Power of Attorney
- Probate
- Rebalancing
- Recession
- REIT (Real Estate Investment Trust)
- Risk Capacity
- Risk Tolerance
- RMD (Required Minimum Distribution)
- ROI (Return on Investment)
- Rollover
- Roth IRA
- RSU Tax Calculator (Restricted Stock Units)
- SEC (Securities and Exchange Commission)
- Social Security Optimization
- Step-Up in Basis
- Structured Product
- Suitability Standard
- Tax-Deferred
- Tax-Efficient Investing
- Tax-Loss Harvesting
- Term Life Insurance
- Time Horizon
- Trust (Revocable/Irrevocable)
- Umbrella Policy
- Underwriting
- Vesting Schedule
- Volatility
- Whole Life Insurance
- Will
- Yield
Regulatory & Certification Bodies
The best advisors are certified through FINRA and SEC. Click the links to find out more.
Looking for a CFP Professional? Search our directory and verify credentials at CFP Board.
Financial Education and Resources
New to financial planning? Learn the terms they use on our glossary page. Also you can learn the basics at investor.gov
Understand different advisor fees with this guide from NAPFA.
Use our wide array of free financial calculators. You have a financial calculation you need to make? We have a calculator for it!
Industry Associations & Networks
Many of our advisors are members of FPA.
Explore fiduciary standards at The National Association of Personal Financial Advisors (NAPFA)
Comparison and Review Sites
Read client reviews on XY Planning Network or Fee-Only Network.
Blog or News Outlets Covering Financial advice
For the latest financial planning trends, read Kitces.com
Find out the latest on precious metals at Kitco.com
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