Online Investing Glossary: P

penny stocks: Stocks that trade for less than a dollar.

Producer Price Index: Tracks prices paid by companies that create goods. When prices are rising, both bond and stock investors pay attention because that affects the value of their investments. Stock investors typically don’t like inflation because it drives up costs and makes their investments worth less.

proxy statement : A document that describes company matters to be discussed and voted on by shareholders at the annual meeting.

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