Archives

A trade is on a downtick when the last trade occurred at a price lower than the previous one.

Capital and preferred shares issued by a split-share corporation. A split-share corporation holds common shares of one or more companies. The corporation then issues two classes of shares – capital shares and preferred shares. The objective is to generate fixed, cumulative, preferential dividends for the holders of preferred shares and to enable the holders of the capital shares to participate in any capital appreciation (or depreciation) in the underlying common shares.

Stock price is heading down.

The spread is the gap between bid and ask prices of a stock, option, or other security. This term is also used to generally describe a number of strategies that make use of different spreads between calls, puts and the underlying stock, e.g., Bull Spread with Calls, Bull Spread with Puts, Bear Spread with Puts, Bear Spread with Calls, Butterfly Spread, Calendar Spread, Ratio Call Spread.

The process whereby an in-depth examination of a company’s business prospects is conducted.

Committees formed for the purpose of assisting in decision-making on an ongoing basis.

A method of allocating shares in an IPO where you specify how much you’re willing to pay for how many shares.

A dividend/distribution paid in securities of the same issue or a different issue of the same issuer or another issuer. A stock dividend/distribution can be used as a means to list a new issuer. The issuer or its representative provides the amount, payable date, and record date. The exchange that the issue is listed on sets the ex-dividend/distribution (ex-d) date for entitlement.

After tax 12-month’s earnings divided by the number of shares outstanding. 

Futures contracts which have a stock index as the underlying interest.