Just call us Bond. Amortized bond.
Over 700 finance terms, Shmooped to perfection.
"75! 5! 10!" isn't what a quarterback screams to signal a roll out pass.
Instead, the term refers to a formula investment managers use to market or advertise their funds: To legally be able to say that their fund is diversified, managers must follow the 75-5-10 Rule. That means their fund needs to have 75% invested in securities from other issuers and can only have 5% (or less) of the fund's assets sunk into one company. The "10" in this rule refers to the fact that the fund can't own more than 10% of any one issuer's outstanding securities. So no buying up 30% of Google stock and sticking that in the fund.