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Definition
New issue
Key factor: issuer receives the proceeds from the sale |
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Definition
Existing owner sells to another party
Issuing firm doesn’t receive proceeds and is not directly involved |
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Definition
| firm commitment on proceeds to the issuing firm |
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Definition
| paperwork defining business plan |
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Term
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Definition
SEC Rule 415
Introduced in 1982
Ready to be issued – on the shelf |
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Definition
| Sale to a limited number of sophisticated investors not requiring the protection of registration |
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Term
| process of initial public offering |
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Definition
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Term
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Definition
| building excitement for new ipo |
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Term
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Definition
| determining the price for the new ipo |
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Term
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Definition
| post sale return, cost to the issuing firm |
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Term
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Definition
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Term
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Definition
| Trading in a good is active |
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Definition
| Trading in a particular type of asset increases |
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Definition
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Term
| Market—executed immediately |
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Definition
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Term
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Definition
Investors specify prices
Stop orders |
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Definition
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Definition
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Definition
| receives all quotes but they can’t enter quotes |
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Definition
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Term
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Definition
Member functions
Block houses
SuperDot |
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Definition
Commission brokers
Floor brokers
Specialists |
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Term
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Definition
| market formed by combination of the Paris, Amsterdam and Brussels exchanges |
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Term
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Definition
| fee paid to broker for making the transaction |
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Term
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Definition
| cost of trading with dealer |
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Term
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Definition
| price dealer will buy from you |
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Term
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Definition
| price dealer will sell to you |
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Term
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Definition
| on some trades both are paid |
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Term
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Definition
Using only a portion of the proceeds for an investment
Borrow remaining component |
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Term
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Definition
| is currently 50%; you can borrow up to 50% of the stock value |
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Term
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Definition
| minimum amount equity in trading can be before additional funds must be put into the account |
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Term
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Definition
| notification from broker that you must put up additional funds |
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Term
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Definition
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Term
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Definition
| to profit from a decline in the price of a stock or security |
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Term
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Definition
Borrow stock through a dealer
Sell it and deposit proceeds and margin in an account
Closing out the position |
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Term
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Definition
| buy the stock and return to the party from which is was borrowed |
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