National Association of Securities Dealers Automated Quotation System (NASDAQ) – An inter-dealer computer system that provides brokers, traders, and market makers current bid and ask quotes for Over the Counter (OTC) securities.
NASDAQ Stock Market – Also known as the Over the Counter (OTC) market. It is a negotiated trading market using a network of market makers located throughout the United States (US) to trade mainly smaller and high technology issues.
National Securities Clearing Corporation (NSCC) – Securities clearing organization in which financial institutions settle trades/accounts and provide information to one another.
Net Asset Value (NAV) – The value of each share of a management company, computed daily at market close, which is computed by totaling the current market value of each security held in the fund portfolio, subtracting it by the fund’s liabilities (Total Net Assets) and dividing by the total number of outstanding shares.
Net Present Value (NPV) – Net Present Value compares the value of a dollar today to the value of that same dollar in the future, taking inflation and returns into account. It is the difference between the present value of cash inflows and the present value of cash outflows.
Net Worth – Total assets minus total liabilities for an individual or company.
New Issue – An issue of securities being offered to the public for the first time.
No-Load Fund – A mutual fund that has no sales charge added to its public offering price (POP).
Nominal Yield – The stated yield or coupon rate (interest) paid to the purchaser of a bond.
Non-Diversified Fund – An investment fund that does not have at least seventy-five (75) percent of its assets invested in securities, with no more than five (5) percent of these assets invested in any one company’s securities and no holdings exceeding ten (10) percent of the voting stock of any one company.
Non-Systematic Risk – The risk (company or industry specific) that is inherent in each investment. The amount of unsystematic risk can be diversified away through diversification.
Non-Tax Qualified Plan – A pension/retirement plan in which the contributions are not deductible against the contributor’s taxable income. Earnings are still tax-deferred and when distributions begin only the earnings are taxed.