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 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.

GARP

Growth at a reasonable price. A strategy of buying stocks whose price/earnings ratio is equal to or less than the estimated annual earnings growth rate.

GICS

The Global Industry Classification Standard (GICS) is a consistent set of global economic sector and industry definitions. GICS are used to classify the constituents of many indices worldwide. GICS is a four-level classification system. The four levels are: sector, industry group, industry, and sub-industry. Standard & Poor’s and Morgan Stanley Capital International (MSCI), two providers of global indices, jointly launched GICS in 1999.

Good Delivery

The term used to describe a security that is in proper form to transfer title, which means that the registered owner has endorsed it. To settle a sale, the certificate must be surrendered on good delivery by the seller. A certificate that bears a share transfer restriction will not constitute good delivery. The term used to describe a security that is in proper form to transfer title, which means that the registered owner has endorsed it. To settle a sale, the certificate must be surrendered on good delivery by the seller. A certificate that bears a share transfer restriction will not constitute good delivery.