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Warrant:

A security that gives the holder the right to purchase securities from the warrant issuer at a stipulated subscription price. Warrants are usually long-term instruments, with expiration dates years in the future.

Wash Sale:

When an investor purchases an asset within 30 days of the sale date of a substantially similar asset and reports a tax loss, the Internal Revenue Service will deny the loss. The IRS prohibits wash sales since no change in ownership or risk takes place.

When Issued (WI):

A securities issue authorized and sold to investors but not yet physically available for delivery. Often a "WI" designation will follow a stock symbol in the newspaper.

Whipsaw:

A volatile market that can punish an active trader who buys just before prices fall and then sells first before prices recover. This risk is inconsequential to long-term investors.

White Knight:

A company that rescues another in financial difficulty, especially one that saves a company from an unwelcome takeover bid.

Write/Writer:

To sell an option that is not owned through an opening sale transaction. While this position remains open, the writer is subject to fulfilling the obligations of that option contract; i.e., to sell stock (in the case of a call) or buy stock (in the case of a put) if that option is assigned. An investor who so sells an option is called the writer, regardless of whether the option is covered or uncovered.