There are some lingual debates about naming concepts correctly so that you can understand the real concept from its given name.
I'm entering into financial markets (I'm a computer programmer who is going to analyse the financial market, in order to develop some applications), and I find it really hard to understand some basic, underlying concepts.
I feel like the nomenclature isn't correct.
- Why do people call something a Security? Why not something as simple as a Financial or a Monetary? Why not Financial Documents instead of Securities?
- What does Instrument mean? I expect the word Instrument to represent a physical tool that can be used for a specific purpose. I know that some words have different meanings, but instrument etymologically means something prepared and I can't figure out the connection between being financial and being prepared.
- A bond is a solid, robust connection between people. Why is it the name of a kind of financial document?
For each of these terms, I tried to find an alternative, which represents that underlying concept better:
- Financial instead of Security
- Legal Document instead of Instrument
- Repayment Guarantee instead of Bond
I know these terms might sound normal to you, but I do have a tough time learning them. For example, my mind doesn't accept the word phone to describe something that can make food cold (refrigerator).
I searched Google and didn't find good answers. Even this guy complains about it.
The more I read Wikipedia about financial concepts and articles, the more I get puzzled. I try to find other examples too.
Is there a good, lingual explanation for this?