10-K Report: Document required by the Securities and Exchange Commission for all U.S. public companies, reporting the audited financial results for the year, and noting any significant changes or events in the year.

10-Q Report: Document required by the SEC for all U.S. public companies, reporting unaudited financial results for the quarter and noting any significant changes or events in the quarter.

Annual Report: A glossy, colorful brochure sent to a public company's or mutual fund's shareholders at the end of each fiscal year, reporting the financial results for the year (including the balance sheet and income statement) and commenting on the outlook for the future.

Common Stock: A security representing ownership in a corporation or company. A share of common stock represents a proportion of ownership in a particular corporation. The benefits of common stock ownership are:

• Common stock has no maturity date and can continue paying dividends and growing in value forever.
• Stock investors can't lose more than 100% of their investment. No matter how much money a company loses, as a shareholder, you are not liable for anything.
• Shareholders are entitled to voting privileges on important corporate matters, such as electing a board of directors.

Declaration Date: The day that the board of directors announces a dividend, the dividend amount and when it will be paid to common stock shareholders.

Direct Registration System (DRS): DRS is a service within the securities industry that allows shares to be owned and recorded electronically without having a stock certificate issued.

Dividend: The proportion of a company's net earnings paid to its shareholders.

Escheat: The reversion of property to the state or county, as provided by state law, in cases where a decedent dies intestate without heirs capable of inheriting, or when the property is abandoned. If the rightful owners or heirs later appear, they can claim the property.

Ex-dividend: Means “without the dividend”. The buyer of a stock selling ex-dividend does not receive the dividend already declared, but not yet paid.

Joint Tenants: An account in which several people have an ownership interest and whose assets are inherited by its survivors upon the death of any participant.

Medallion Signature Guarantee: A type of signature guarantee issued by Financial Institutions that are members of the Securities Transfer Association Medallion Program, New York Stock Exchange Medallion Program or Stock Exchange Medallion Program. Required for most types of stock transfers.

Par Value: On stock certificates, usually from $.25 - $1.00, has no relationship to the stock’s actual value. Par Value of a bond, also know as the face value, is what it is worth.

Payment Date: The day on which the dividend is paid.

Preferred Stock: Ownership shares issued by a corporation and traded by investors. Dividends are guarantees and paid before dividends of common stock.

Probate: A judicial process whereby the will of a deceased person is presented to a court and an Executor or Administrator is appointed to carry out the will’s instructions.

Prospectus: Legal document giving a detailed analysis of the company’s financial history, products, services, management. Also, assesses the various risks that the company faces.

Proxy Statement: A document which the SEC requires a company to send to its shareholders that provides material facts concerning matters on which the shareholders will vote. The purpose of the proxy statement is to provide shareholders with the appropriate information to permit an informed decision.

Record Date: The day the company examines its list of shareholders. To receive the dividend, you must be on the list on this day.

Registered Shareowner: Securities held in the name of the shareowner(s), as opposed to “Street Name” (see below).

Small Estate Affidavit: An estate with a dollar value under limitations stipulated by the state of residence of a decedent may be able to avoid probate through use of this form. Each state has different requirements for use of a Small Estate Affidavit.

Stock Split: Increase in a corporation’s number of outstanding shares of stock without any change in the shareholders’ equity or the aggregate market value at the time of the split. In a split, also called a split up, the share price declines. If a stock at $100 par value splits 2-for-1, the number of authorized shares doubles (for example, from 10 million to 20 million) and the price per share drops by half, to $50. A holder of 50 shares before the split now has 100 shares at the lower price.

“Street Name”: Securities held in the name of a brokerage firm, or securities held in a name other than the owner’s.