Glossary

Your cost basis in a stock or any other security is the price you paid for it, plus any qualified expenses you incurred such as a transaction fee. For example,...

When a significant percentage of your wealth is concentrated in a single position such as your company’s stock, you may be exposed to concentration risk—or the risk that the share...

For stock options, a simultaneous exercise and sell of some or all of your exercised options that allows you to cover the cost of the shares and any subsequent taxes...

When you sell a security for less than you paid for it (for less than its cost basis), the difference is a realized capital loss. If you incur losses in...

When you sell a security for more than you paid for it (for more than its cost basis), the difference is a realized capital gain, subject to taxation if it...