Glossary of Terms.

Joint Account
Just like the banks can do. You and someone else can have your names on an investment account. It can be set up in many ways, but they all mean that both people own the securities.

Lagging Indicators
Economic indicators that lag behind the overall pace of economic activity. The six most frequently used components of lagging indicators are the unemployment rate, business spending, bank loans outstanding, bank interest rates, unit labor costs and the book value of manufacturing and trade inventories.

Last Split
After a stock split, the number of shares distributed for each share held and the date of the distribution.

Latest Quarterly Earnings (%)
The percentage change from the latest earnings reported compared with the same quarter a year earlier.

Leading Indicator
A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators are believed to predict changes in the economy. Examples include new orders for durable goods, slowdowns in deliveries by vendors and numbers of building permits issued.

LEAPS®
Long-term Equity Anticipation Securities, or LEAPS®, are long-term stock or index options. LEAPS®, like all options, are available in two types, calls and puts, with expiration dates up to three years in the future.

Leg
One side of a spread.

Leverage
The amount of volume that enables a trader to buy or sell a security or derivative and receive fair value for it. Using borrowed capital to increase investment return.

Limit Order
An order to buy a stock at or below a specified price or to sell a stock at or above a specified price. For instance, you could tell a broker to "Buy me 100 shares of XYZ Corp at $8 or less" or "Sell 100 shares of XYZ at $10 or better."

Liquidity
The ease with which an asset can be converted to cash in the marketplace. A large number of buyers and sellers and a high volume of trading activity provide high liquidity. Liquidity is a concern for any moneys that may be required on short notice, whether for emergencies or for planned purchases.

Long
The term used to describe the owning of a security, contract or commodity. For example, an owner of common stock is said to have a long position in the stock.

Low (lo)
This is the lowest price paid for a stock during a certain period. For example, the low for the day was $15, but the low for the year was $7.50.