Quotation:
The bid and offer being quoted by a market maker or broker-dealer for a specific security. The highest bid and lowest offer is called the inside quote.

Realized Gains and Losses:
The profit or losses received or paid when a closing transaction is made and matched together with an opening transaction.

Record Date:
The date established by a corporation's board of directors on which a shareholder must own shares in order to be entitled to a dividend.

Regulation T:
Regulation established by the Federal Reserve Board, which covers the extension of credit to clients by securities brokers, dealers, and members of the national exchanges. It sets the initial margin requirement and defines eligible, ineligible, and exempt securities.

Regulation U:
U.S. government regulation that covers the lending of money by banks to their customers including brokerage firms.
Rejected Order:
Order, which is invalid or unacceptable.

Resistance:
A term used in technical analysis to describe a price area at which rising prices are expected to stop or meet increased selling activity. This analysis is based on historic price behavior of the stock.

Return of Capital:
For a long investment, when a portion of the quantity (for a bond) or net amount (for a stock) of an investment is returned to the buyer. Returns of capital are tax-exempt distributions and reduce cost basis of an investment to a maximum of zero. Below zero, any additional returns of capital are treated as capital gains distributions and are taxable.

Return on Equity:
A measure expressed as a percentage of a company's return on assets (profitability) calculated by dividing after tax income by tangible assets.

Return on Investment (ROI):
An amount, expressed as a percentage, of the profit or loss resulting from a security transaction. In the corporate realm, it is the amount earned on a company's total capital calculated by dividing total capital into earnings before taxes, invest and dividend payments are deducted. Used as tool to evaluate companies in terms of management efficiency and product viability.

Rho:
The sensitivity of theoretical option prices with regard to small changes in interest rates. Increases in interest rates lead to higher call values and lower put values. Lower interest rates do the opposite.

Rights Offering:
A security granted to existing shareholders of a corporation to subscribe to newly issued shares of common stock before it is publicly offered. It is usually transferable and may be traded in the open market.

Rolling Forward:
A trading action in which the trader simultaneously closes an open option position and creates a new option position at a different strike price, different expiration, or both. Variations of this include rolling up, rolling down, rolling out and diagonal rolling.