In order to achieve success in the stock market you must be able to speak the language of the stock market. Please use our supplied glossary of terms to become better acquainted with these terms so that you may gain a better understanding of the market world
A seller of an option contract who does not own a position in the underlying security.
The difference between the previous day’s closing price and the last traded price.
The difference between a company’s or individual’s total assets and its total liabilities. Also known as shareholders’ equity for a company.
A stock or bond issue sold by a company for the first time. Proceeds may be used to retire the company’s outstanding securities, or be used for a new plant, equipment or additional working capital. New debt issues are also offered by governments.
New Issuer Listing
Occurs concurrently with the posting of the new issuer’s securities for trading. The preconditions for listing include the acceptance by the Exchange that all listing requirements and conditions have been satisfied. The effective listing date is the date when the listed securities open for trading.
New Issuer Listing – Application
An issuer whose application for listing was based on the TSX listing application or the TSX Venture Exchange listing application form. These applications in themselves provide prospectus-level disclosure; however, often the listing application is accompanied by an offering document or a prospectus.
New Issuer Listing – Graduate
An issuer, previously listed on TSX Venture Exchange (including NEX), that applied for and was approved for listing on TSX. The issuer’s security would be delisted from TSX Venture Exchange and listed on TSX at the same time, permitting continuous listing of the securities on contiguous exchanges.
New Issuer Listing – IPO (Initial Public Offering)
An IPO (initial public offering) is an issuer’s first offering of its securities made to the public in accordance with a prospectus. The offering is often made in conjunction with an issuer’s initial application for listing on an exchange.
New Issuer Listing – Plan of Arrangement
An issuer listing as a result of a plan of arrangement. A plan of arrangement is a form of corporate reorganization that must be approved by a court and by the corporation’s shareholders or others affected by the proposed arrangement, all as prescribed by corporate legislation. A plan of arrangement can take various forms, including: An amalgamation of two or more corporations A division of the business of the corporation A transfer of all or substantially all of the property of the corporation to another corporation An exchange of securities of the corporation held by security holders of the corporation for other securities, money, or other property that is not a takeover bid A liquidation or dissolution of the corporation A compromise between the corporation and its creditors or holders of its debt Any combination of the foregoing.
New Issuer Listing – Spin-Off
A reorganization that usually results in a newly listed issuer acquiring a business division or assets as its principal operating asset from another issuer (the reorganized issuer), with security holders of the reorganized issuer holding securities in both issuers, following completion of the reorganization.
New Issuer Listing – Transfer
An issuer previously listed on TSX that applied for and was approved for listing on TSX Venture Exchange. The issuer’s security would be delisted from TSX and listed on TSX Venture Exchange at the same time, permitting continuous listing of the securities on contiguous exchanges.
A security issue that is newly added to the list of tradable security issues of an exchange. It is accompanied with a new listing date.
A separate board of TSX Venture Exchange. NEX was launched by TSX Group, effective August 18, 2003, to trade as an open, continuous auction market, on the same TSX Venture trading engine, and to be governed by identical trading rules. NEX provides a trading forum for issuers that have fallen below TSX Venture’s continuing listing requirements. They are identified with an extension of “H” added to their stock symbol.
An issue that is recorded on the transfer agent’s electronic book rather than being held as a physical note.
An order from a Participating Organization or an order a firm is executing on behalf of an institution, such as a mutual fund. An “N” denotes a non-client order in the book.
A listed issuer that is subject to special reporting rules.
A special-term order when there is a clear understanding between the buying and selling parties that they will settle the trade directly with each other.
A special term order when one or more participants in the trade is not a Canadian resident.
North American Industry Classification System (NAICS)
A system for classifying business establishments. It was developed by the Economic Classification Policy Committee (ECPC) on behalf of the U.S. Office of Management and Budget (OMB), in cooperation with Statistics Canada and Mexico’s Instituto Nacional de Estadistica, Geografia e Informatica (INEGI) to provide comparable statistics across the three countries. Launched in 1997, it is the replacement for the 1987 Standard Industrial Classification (SIC) codes.