delta; hedge ratio: Delta represents the price change of an option for every one-point change in the price of the underlying security or futures contract.

derivative: A financial instrument whose value is based on the value of another asset or index. A stock option, for example, is a type of derivative that gives you the right, but not the obligation, to buy shares of the stock at a predetermined price. The option’s value changes in relation to the price of the stock.

Designated Order Turnaround system; SuperDOT: An electronic order-routing system used by NYSE member firms to send market and limit orders directly to the specialist at the exchange who trades that particular security.

dividend: Money paid out by a company to the owner of its stock. An income stock is a stock that has a regularly paid, higher-than-average dividend.