Tax Qualified Plan – A pension/retirement plan in which contributions are deductible against the contributor’s taxable income (per-tax dollars). When distributions are taken, the entire amount is taxed.

Tax Shelter – A commonly known name for a Direct Participation Program (DPP).

Third Market – The market in which over the counter firms trade exchange listed securities.

Time Horizon – The length of time based on the investor’s investment objectives over which an investment is held.

Time Value of Money – The potential earning capacity of money which can affect its future value.

Top Down Approach – A method of investing that looks at the overall economy to identify sectors that appear to have the best growth potential and invest in those sectors hoping to achieve the greatest potential return.

Total Return – The actual rate of return including dividends and capital appreciation of an investment over a given time period.

Transfer Agent – Usually a commercial bank or trust company appointed by an issuer of a security to issue new certificates, cancel old ones, and mail dividends and/or other important information and documents to shareholders.

Treasury Bill (T-Bill) – A short-term money market instrument that is sold at a discount to a minimum face value.

Treasury Bond – A negotiable, long-term fixed-interest United States (US) government debt security with a maturity of ten (10) to thirty (30) years. Treasury bonds make interest payments semi-annually.

Treasury Note – A negotiable, long-term fixed-interest U.S. government debt security with a maturity of two (2) to ten (10) years. Treasury bonds make interest payments semi-annually.

Treasury Separate Trading Of Registered Interest and Principal Securities (STRIPS) – Treasury STRIPS are fixed-income securities sold at a discount to face value and offer no interest payments because they mature at par.

Trust Account – A fiduciary account in which the trustee makes investment decisions for a person based on the terms of the trust.

Trust Indenture – An agreement made between a bond issuer and a trustee highlighting the rules and responsibilities of each party. It may also indicate from where the income stream for the bond is derived.

Trustee – An individual or organization which holds and/or manages assets for the benefit of another as in a trust account or fiduciary account.