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TRP Financial Glossary

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Finance Term Definition Added By: Kaitlyn

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Other Similar Finance Terms:

Financial Term Individual Retirement Account Rollover is The movement of qualified retirement funds from one account to another in order to avoid taxability and penalty. The rollover must occur within 60 days into an IRA-qualified retirement account.

Financial Term Net Debt is Definition Interest bearing debt minus cash balance. Used in the calculation of Equity Value (Business Value less Net Debt).

Financial Term Profit Taking is Selling stock after a period of rising prices to realize the profit. The term is used to explain a downturn in the market.

Financial Term Compounding Interest is The process of reinvesting interest to earn additional interest. The more frequent the compounding, the more you earn.

Financial Term Last Will is Literally, the will last executed by an individual, which revokes any former existing wills.