Common investment terminology used in Australia, categorised alphabetically
A | B | C | D | E | F | G-H-I | J-K-L-M | N-O | P | Q-R | S | T | U-V-W-X-Y-Z
National Guarantee Fund
A fund maintained by the Australian Stock Exchange to protect the interests of investors if a stockbroker fails to complete a transaction.
Negative gearing
A tax reducing strategy in which the interest cost of borrowing exceeds the income earned from an investment.
Negotiable security
A transferable security that can be bought or sold.
Net asset backing (NAB)
Assets less liabilities divided by the number of ordinary shares outstanding.
Net asset value (NAV)
Net asset backing per unit in an unlisted unit trust.
Net tangible asset backing (NTA)
The same as net asset backing after deducting intangible assets.
New
Recently issued shares are quoted as new when they do not yet rank equally with existing shares for dividends.
Note
A fixed interest security.


Offer price
The price an investor can buy from the market, also called the ask price.
Off 'Change
Transactions in listed securities that do not take place on the Australian Stock Exchange.
Official list
Securities admitted to be traded on the Australian Stock Exchange.
Open-end fund
A fund in which investors can buy and sell units at any time based on net asset value. The opposite of closed end fund.
Open interest
The number of outstanding derivative contracts for a particular class or series.
Open order
An order that is good until it has been executed or cancelled.
Option
A term is used in several ways:Company options are issued by a company and traded on the Australian Stock Exchange. They give the option holder the right to buy new shares on specified terms for a period of time. Equity options are standardised puts and calls on existing listed company shares that are traded on the Australian Stock Exchange Derivatives market.Futures options are standardised puts and calls on financial futures contracts that are traded on the Sydney Futures Exchange.
Ordinary shares
Units of proportional ownership in a company.
Over-bought
The result of a recent price rise for which there is now an expected correction.
Over-sold
The result of a recent price decline for which there is now an expected rally.
Over-the-counter (OTC)
Trading via the telephone or computer screens that does not take place on an organised exchange.
Overweight
Having greater exposure to an asset class than would be normal. The opposite of underweight.