What is an account balance?

The amount of money a user has stored in a financial repository.

Account balance with a bank account

When you check your account balance at your bank, it will show the amount of cash you have stored with the bank.

If you have pending transactions, your account balance might be greater than the amount that is actually available to you. That is because the money needed to make those transactions has not yet been removed from your account.

Account balance with a stockbroker

An account balance with a brokerage is likely to look different from a bank account balance. That’s because you don’t just keep cash with a broker.

Instead, the account balance that you see when you check your brokerage account will be the sum of any cash you hold and any stocks you have bought.

Because the value of stocks changes all the time, your account balance will also vary more frequently with stockbroker than a bank.

More terms

After-hours trading

Trading outside of a stock exchange's opening hours.
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Dividends

Find out what dividends are and how they can contribute to the growth of your investment portfolio.
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Alpha

The percentage by which an investor outperforms a relevant benchmark.
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Hypothesis Testing

A mathematical test used to determine whether a claim is true or false.
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Oligopoly

A situation in which a market or industry is controlled by a small group of companies.
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Quick ratio

Learn what quick ratio stands for in financial terms and how to calculate it.
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Fundamentals

The data or information that is likely to impact a company's stock price.
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Over-The-Counter (OTC)

A security that is sold outside of an exchange.
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DMO

The United Kingdom Debt Management Office. It’s an executive agency responsible for managing the government’s debt and cash needs, primarily through issuing gilts and Treasury bills.
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