Basis Point

Trading Basics

Basis point

A basis point is 0.01% and is typically used when quoting interest rate changes.

A move of 0.25% is described as 25 basis points.

Other Trading Basics

Bearer Stocks

Ownership of shares is typically held on a register.

The owner of bearer shares do not get registered, instead they must possess the certificate the prove ownership.

Keep them safe.

Read More »

Balance of Trade

Also BoT. This is the difference between trade into or out of a country.

Experts and imports. It can be negative or positive and is used by traders in fundamental analysis.

Read More »

Start learning

Learn the skills needed to trade the markets on our Trading for Beginners course.