Glossary of Financial Terms

Maturity — When a note, bond or other investment option is due for payment to investors or creditors.

Mortgage — An agreement to borrow money from a bank or similar organization to buy a home. Usually the house/property is used as a guarantee for the loan.

Money Market Account — Similar to checking accounts at a bank or credit union, but usually pays higher interest rates than a savings account. Minimum deposit levels are higher than checking, allows for a limited number of monthly transactions.

Money Market Fund — A mutual fund that invests in short-term corporate and government debt and passes the interest payments on to shareholders.

Mortgage-Backed Securities (MBS) — Investments or assets that are secured by a mortgage or collection of mortgages. They come in a variety of structures. For more information see the SEC page about the topic.

Mutual Fund — A professionally managed portfolio of stocks, bonds or other investments divided up into shares.