Basis Point
A unit of measurement that makes it easy to measure dollar amounts smaller than one percent.
One percentage points equals 100 basis points. In other words, an investment that yields 3.5% pays 50 basis points more than one yielding only 3%.
Beneficiary
A person chosen by a participant to receive the participant's assets in a qualified retirement plan if the participant dies.
Broker Dealer
This is an investment professional or firm licensed by the National Association of Securities Dealers (NASD) to act as liaison between buyers and sellers of securities.
Bundled Plan
Unlike a basic plan, in which the employer individually hires the investment and administration providers, in a bundled plan, no variation from the standard is allowed.
