Sunday, 12 February 2012

Swap

Borrowers can exchange the type of funds most easlly raised for the type of funds required usualy throught the intermediary of a bank

What is Simulation

A financial modelling technique that considers the likely outcomes of different hypothetical circumstances

Share premium

The amount payable for shares in a company and issued by the company itself in excess of their normal value

The principle of subrogation

State that having a claim an insurer has the right to take over any other methods that the policyholder may have obtained compenzation for the same event

Sterilization

The process of offsetting the inflationary effects that results when government intervenes in foreigh-exchange markets

Share option

A benefit sometimes offered to employees aspecially new employees in which they are given an option to buy shares in the company for they work at a favourable fixed price or at a discount to the market price.

Share index

An index formed by selecting a numberof prominent share traded on a stock exchange and comparing the value of these shares with their value on a stated date in the base year.

Share-for-share offer

A takeover bid in which the director of a company offer share in that company as the payment of acquiring the shares in the target company.

Share certificate

A document that provides evidence of ownership of a share of Company

Stag

A person who apllies for share in new issue in the hope the price when trade begins will be higher than the issue price