An options contract often sold with another security. For instance, corporate bonds may be sold with warrants to buy common stock of that corporation. Warrants are generally detachable.
Weak form efficiency
A form of pricing efficiency where the price of the security reflects the past price and trading history of the security. Related: Semistrong form efficiency, Strong form efficiency
Weighted-average portfolio yield
The weighted average of the yield of all the bonds in a portfolio.
Whipsaw
Losing money on both sides of a price swing.
Wide Opening
Refers to an unusually large spread between the bid and asked prices.
Wild card option
The right of the seller of a Treasury bond futures contract to give notice of intent to deliver at or before 8:00 p.m. Chicago time after the closing of the exchange (3:15 p.m. Chicago time) when the futures settlement price has been fixed. Related: Timing option
Wilshire 5000 Equity Index
A market index of approximately 6,500 U.S. based equities traded on the American Stock Exchange, the New York Stock Exchange and the NASDAQ stock market.
Window Contract
A guaranteed investment contract purchased with deposits over some future designated time period (the "window"), usually between 3 and 12 months. All deposits made are guaranteed the same credit rating. Related: Bullet contract
Window Dressing
Denotes the selling weak of performing stocks or bonds by money managers just before the end of each reporting quarter, so they don't appear as significant investment positions. This selling activity is often accompanied with buying activity of strong performing stocks and bonds. After quarterly reports are issued, the portfolio will reveal holding positions in strong performing stocks and bonds, despite the fact that the majority of the capital gains in these were never experienced by shareholders. Window dressing is a cosmetic affect and adds little or no value.
Wire House
A firm operating a private wire to its own branch offices or to other firms, commission houses or brokerage houses.
Witching Day
A day on which two or more classes of options and futures expire.
Withdrawal Plan
A program in which shareholders receive payments from their mutual fund investments at regular intervals.
