The profit made from the sale of securities due to an increase in the value of the securities
The profit made from the sale of a capital asset, such as real estate, a house, jewelry or stocks and bonds
Profit or loss realized on the sale of securities or other assets in a fund's portfolio Long term capital gains refer to a gain on assets owned in the portfolio for longer than one year Short term capital gains refer to a gain on assets owned in the portfolio of one year or less Profits are usually paid out to the mutual fund shareholders once a year
Profit from a sale of an investment constitutes a capital gain For example, if you bought a share of stock for $5 and later sold it for $7 50, you would have a capital gain of $2 50
Profit earned from the sale of an asset, where the sales price was greater than the adjusted basis (See adjusted basis, deferred capital gain, excluded capital gain, realized capital gain (loss), recognized capital gain)
The amount by which proceeds from the sale of a capital asset exceed the original cost
Money earned by a mutual fund when it sells holdings in its portfolio at a price greater than the price it originally paid An increase in the market value of a mutual fund's securities, as reflected in the net asset value (NAV) of the fund's shares
Profit realized when a capital asset is sold for a higher price than the purchase price Commercial paper - unsecured obligation issued by a corporation or special purpose entity to finance its short-term credit needs Maturities generally range from 1 to 270 days Coupon - periodic interest payment made to a bondholder during the life of a bond Credit rating - evaluation of a corporate or municipal bond's relative credit-worthiness according to the issuer's ability to repay principal and make interest payments Bonds are rated by various organizations such as Standard & Poor's and Moody's Ratings range from AAA or Aaa (the highest) to D, which represents a company in default Current yield - annual rate of return on a security, calculated by dividing the interest or dividends paid by the security's current market price back to top
Arise when an investment is sold at a higher price than originally paid In a mutual fund, capital gains are created when the fund buys and sells underlying securities at a premium over purchase price These gains are then distributed to unitholders at least annually Unitholders can also earn capital gains by redeeming their fund shares at higher prices than they originally paid
The excess of the selling price over the cost basis when assets, such as securities and other personal and investment assets, are sold
The profit realized when a capital asset is sold for a higher price than the purchase price See also capital loss
An increase (decrease) in the value of your investment or an amount received (lost) by a mutual fund for selling securities above (below) their cost If you sell or exchange your fund shares for more or less than your cost basis, you will realize a capital gain or loss All capital gains, whether earned by the fund or from the sale of fund shares, must be reported on your tax return Different tax rates may apply depending on how long assets were held, when they were sold, and other factors Any capital losses from the sale of fund shares must be reported on your tax return and may be used to offset capital gains
Gain on the sale of a capital asset If long-term (generally over six months), capital gains are sometimes favorably taxed A personal residence is a capital asset
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