5 financial terms not to take for granted

Financial jargon with multiple meanings
Financial jargon with multiple meanings © Margarita Borodina/

When it comes to listening to pitches from brokers and advisers, what you hear isn't always what you get. Unfortunately, financial terms used to describe an investment's features and benefits can mean different things to different investors, advisers and even to different investment firms and insurance companies. Ultimately, products that are sold on the basis of safety, guarantees, flexibility or expected returns can yield very different results. Yet these words are bandied about as if they each have a universal meaning.

In a financial world plagued by jargon, small print and scams, it's more important than ever that investors not accept vague promises or rely on their own interpretation of words used to persuade them about where and how to invest their life savings. Instead, they must be prepared to ask the right questions and separate perceptions from reality.


Show Bankrate's community sharing policy
          Connect with us

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

CDs and Investment

Where should I put my money?

Dear Dr. Don, I would like to begin investing money to use in retirement. I want to be conservative with these investments, and I don't know where to begin. Any advice on retirement investing would be appreciated. Thank... Read more



Dr Don Taylor

Forgo upside to protect your backside

What if you could participate in the market's upside performance while protecting yourself against downside risk? These products exist. They are equity-indexed annuities and equity-linked CDs.  ... Read more

Partner Center

Connect with us