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The American Stock Exchange known as the AMEX is the second largest stock exchange in the U.S. The largest is the New York Stock Exchange NYSE. Stocks and bonds traded on the American Stock Exchange tend to be those of smaller companies than on the NYSE. Some index options and interest rate options trading also occurs on the American Stock Exchange.

A basis point is One hundredth of a percent 0.01%. It is used to measure changes in or differences between yields or interest rates.

The Chicago Board of Trade is an exchange where grain, gold, and treasury Bond futures and options are traded. Also the Chicago Board Options Exchange is an exchange where stock options, equity LEAPS, index options, and interest rate options are traded. Also the Chicago Mercantile Exchange is an exchange where financial futures, foreign currency futures, commodity futures, and futures options are traded.

The Hang Seng Index is a market value weighted index of the stock prices of the 33 largest companies on the Hong Kong market.

The Jensen index is an index that uses the capital asset pricing model to determine whether a professional money manager outperformed a market index.

Leveraged Recapitalization is a strategy used by the target of a hostile company takeover in which the company makes itself less desirable by borrowing a large amount of money and distributing it to its shareholders.

The London InterBank Offer Rate is the interest rate that the largest international banks charge each other for loans usually in Eurodollars.

The Nikkei Index is an Index of 225 leading stocks traded on the Tokyo Stock Exchange.

A Overlying mortgage is a mortgage which is junior, having a subordinate claim to a senior mortgage on the same real estate.

A Red Herring is the same as a preliminary prospectus. This terminology comes from the warning, printed in red, that information in the document is still being reviewed by the Securities and Exchange Commission (SEC)and is subject to change.