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TERMINOLOGY



For brevity, I use the term "security" when referring to any tradable financial instrument. This includes stocks, bonds, commodities, futures, indices, mutual funds, options, etc. While I may imply a specific investment product (for example, I may say "shares" which implies an equity) these investment concepts will work with any publicly traded financial instrument in which an open market exists.

Similarly, I intermix the terms "investing" and "trading." Typically, an investor takes a long-term position while a trader takes a much shorter-term position. In either case, the basic concepts and techniques presented in this book are equally adept.

"Words are like money; there is nothing so useless, unless when in actual use."
---Samuel Butler, 1902  


 






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