Glossary

F

Face value

Face value represents the value, in dollars, of a specific security, such as stocks and bonds, at the time it's issued. While the market rate for these assets may fluctuate based on various factors, such as supply and demand, the face value remains constant.

Financial liability

Financial liability is a sum of money that one party or entity owes another. Essentially, it’s a debt that is owed at some point in the future. While some level of financial liability is essential, if your liabilities significantly exceed your revenue, it could jeopardize your financial stability.

Fiduciary

A fiduciary is an individual or organization that has a legal duty of loyalty and care to another person(/s). A fiduciary who manages money for another person is required to act with the utmost integrity, making decisions that are in that person’s best interests – or they can be held legally liable.

Financial planner

A financial planner is a professional dedicated to helping you manage your money. They can assess your income, expenses, assets, and liabilities to get a holistic view of your financial health. Once they have a full understanding of your needs, they help you establish clear financial goals.

4

4
4
4
4

A

A
A

B

B

C

C
C

D

D
D

E

E
E

F

F
F
F
F

G

G

H

H

I

I
I
I

L

L

M

M
M
M
M

N

N

P

P
P

R

R
R
R
R

S

S
S
S
S
S

T

T
T
T
T

V

V

W

W

4

4
4
4
4

Recent Terms

SEP IRA
A SEP IRA — short for simplified employee pension plan — is a tax-advantaged retirement plan designed for business owners. While it can be used by businesses of any size, it’s often used by small business owners and self-employed individuals.
High earner, not yet rich (HENRY)
HENRY is an acronym for "high earner, not yet rich." It is used to describe someone who earns a high income, usually between $100,000 to $500,000, but has not saved or invested enough to be considered rich. HENRYs typically spend a large portion of their earnings on expenses and purchases.
Non-deductible IRA
A non-deductible IRA is not a type of retirement account. Instead, it refers to non-deductible contributions made to a traditional retirement account. This retirement savings strategy is for those whose income exceeds the limits to make deductible IRA contributions or to contribute to a Roth IRA.