Stock market terms starting with T

T Plus Zero Settlement Indian Market, Regulation & Taxation days Same-day settlement, in which securities and funds are exchanged on the trade date itself. Test: pay-in and pay-out both occur on the trade date rather than on a subsequent day

Tactical Asset Allocation Risk & Portfolio Management % Short-term deviations from a strategic allocation, intended to exploit expected differences in asset class returns. Test: actual weights differ from strategic targets by a bounded amount, with a stated basis and a horizon for reverting

Tail Risk Risk & Portfolio Management qualitative The risk of rare, extreme outcomes that sit far in the tails of the return distribution. Test: outcomes beyond three standard deviations occur far more often than a normal distribution would imply

Takeover Code Corporate Actions, Dividends & Governance qualitative SEBI's regulations governing substantial acquisition of shares and takeovers of listed companies. Test: the acquisition crosses a prescribed threshold of voting rights or amounts to acquiring control, triggering disclosure and open offer obligations

Tax-Loss Harvesting Indian Market, Regulation & Taxation ₹ Deliberately realising losses to set them off against gains and reduce the tax payable in a year. Tax Saved = Loss Realised x Applicable Tax Rate on the Gain it Offsets

TDS Indian Market, Regulation & Taxation ₹ Tax deducted at source: tax withheld by the payer and deposited against the recipient's permanent account number. TDS = Payment Amount x Applicable Rate, credited against the recipient's final tax liability

Technical Analysis Technical Analysis & Chart Patterns qualitative The study of past price and volume data in order to describe market behaviour and frame trading decisions. Test: the conclusion is drawn from price, volume and derived series alone, without reference to the issuer's financial statements

Term Premium Bonds & Fixed Income bps The extra yield lenders require for holding a longer-maturity bond rather than rolling short-maturity ones. Term Premium = Long-Maturity Yield - Average Expected Short-Term Rate over the same period

Terminal Value Fundamental Analysis & Valuation ₹ crore The estimated value of a business beyond the explicit forecast period in a discounted cash flow model. Terminal Value = Final Year Cash Flow x (1 + Terminal Growth Rate) / (Discount Rate - Terminal Growth Rate)

Thematic Fund Funds, ETFs & Index Investing qualitative An equity fund investing at least 80% in companies linked by a theme that spans multiple sectors. Test: minimum 80% allocation to stocks selected by a stated theme rather than by a single sector classification

Theta Derivatives, Futures & Options ₹ The rate at which an option loses value as time passes, holding everything else constant. Theta = Change in Option Price / Change in Time, conventionally expressed per calendar day and negative for a holder

Three Black Crows Technical Analysis & Chart Patterns qualitative Three consecutive falling candles with substantial bodies, each opening within the previous body and closing near its own low. Test: three consecutive candles with Close < Open, each Open inside the previous body, each Close near its own Low

Three White Soldiers Technical Analysis & Chart Patterns qualitative Three consecutive rising candles with substantial bodies, each opening within the previous body and closing near its own high. Test: three consecutive candles with Close > Open, each Open inside the previous body, each Close near its own High

Tick Size Orders, Execution & Market Structure ₹ The smallest price increment by which a security's quote may change on an exchange. Test: every valid order price must be an exact multiple of the tick size for that security

Ticker Symbol Market Basics & Instruments qualitative The short alphabetic code used by an exchange to identify a listed security in quotes, orders and trade reports. Test: the code is exchange-assigned, unique within that exchange, and resolves to exactly one security

Time Horizon Risk & Portfolio Management years The period before an investor needs to draw on the money invested. Test: the date at which the capital, or a stated portion of it, must be available for spending

Time Value Derivatives, Futures & Options ₹ The portion of an option's premium above its intrinsic value, paid for the possibility of a favourable move before expiry. Time Value = Option Premium - Intrinsic Value

Time-Weighted Average Price Orders, Execution & Market Structure ₹ The average price of a security over a period, giving equal weight to each time interval regardless of volume. TWAP = Sum of Prices Sampled at Equal Intervals / Number of Samples

Total Return Index Funds, ETFs & Index Investing index points An index variant that assumes dividends are reinvested, so it measures the full return from holding the constituents. Total Return = Price Return + Dividend Yield, compounded over the period

Tracking Difference Funds, ETFs & Index Investing % The gap between a passive fund's return and its index's return over a period. Tracking Difference = Fund Return - Index Return over the same period

Tracking Error Risk & Portfolio Management % The standard deviation of the difference between a portfolio's returns and its benchmark's. Tracking Error = Standard Deviation of (Portfolio Return - Benchmark Return) over the period

Trade Deficit Economy, Macro & Market Cycles ₹ crore The excess of the value of a country's merchandise imports over its merchandise exports. Trade Deficit = Value of Goods Imports - Value of Goods Exports

Trade Payables Financial Statements & Accounting ₹ crore Amounts a company owes to suppliers for goods or services already received but not yet paid for. Creditor Days = Average Trade Payables / Cost of Goods Sold x 365

Trade Receivables Financial Statements & Accounting ₹ crore Amounts owed to a company by customers for goods or services already delivered but not yet paid for. Debtor Days = Average Trade Receivables / Revenue x 365

Terms starting with T