a measure of the number of shares, or dollar value of shares traded daily. Mutual funds and other institutional buyers prefer high liquidity stocks so they can easily move in and out of positions.
Archives
Listed Stock
Shares of an issuer that are traded on a stock exchange. Issuers pay fees to the exchange to be listed and must abide by the rules and regulations set out by the exchange to maintain listing privileges.
Listing Application
The document that an issuer completes and submits to an exchange when it applies to list its shares on the exchange. The issuer must disclose its activities, plans, management and finances in the application.
Lockup Period
Time after IPO, typically 180 days, when insiders are prohibited from selling their shares.
Long Tail
A ‘long tail’ means the low for the day was well below the close. In other words, the market opened, sellers took over and pushed the index down, but then buyers came back in and ran the index back up to where it opened. The buyers had the last say on the day and showed a lot of strength moving up. That tends to show a reversal in the buying patterns and foretells a further rise from here for the short term.
Initial Public Offering (IPO)
A company’s first issue of shares to the general public.
Inside Information
Non-public information pertaining to the business affairs of a corporation that could affect the company’s share price should the information be made public.
Insider
All directors and senior officers of a company, and those who are presumed to have access to inside information concerning the company. An insider is also anyone owning more than 10% of the voting shares of a company.
Insider Ownership
number of shares owned or controlled by insiders.
Insider Trading
This is trading in the shares of an entity by its directors and officers. These individuals are required to disclose their trades before they happen, and several services provide this information to investors. It is useful, though not an absolute indicator as to a stock?s potential movement, to know if insiders are selling or buying shares of the company they run.