Nasdaq®: the Nasdaq® Composite Index is a measure of approximately 3,200 companies traded on the NASDAQ over-the-counter exchange. Many are technology and Internet related, although financial, consumer and industrial companies are represented as well. The NASDAQ is weighted by market capitalization, which means larger companies have more of an impact than smaller ones when determining overall price movement of the index.
NASD® (National Association of Securities DealersSM): see FINRATM (Financial Industry Regulation Authority).
nest egg: assets set aside for a large future expense, such as a college education or retirement.
New York Stock Exchange® (NYSE®): the oldest and largest stock exchange in the U.S., located on Wall Street in New York City. Stocks, bonds and other securities are bought and sold at trading posts on the floor of the exchange. The NYSE is regulated by FINRA. Also known as the Big Board and The Exchange.
Nikkei Index©: the Nikkei (pronounced “NEE-kay”) Index is composed of 225 leading Japanese stocks traded on the Tokyo Stock Exchange. The index of blue chip Japanese companies is a price-weighted average, which means the price movement of each stock is measured equally regardless of market capitalization.
no-load fund: a mutual fund without a sales or redemption charge. No-load funds are sold directly from fund companies to shareholders, rather than through a financial professional. Despite the name, no-load funds do charge management and administrative fees.
nominal yield: the annual income received from a fixed-income security, expressed as a percentage of the par value of the security. A bond that pays $80 a year and has a par value of $1,000 has a nominal yield of 8%. Also called the coupon rate. See also yield.