A report on a company's financial status over a period of time. It shows the revenues earned, the expenses incurred and the net profit/loss.
Independent Board Member:
The board member is considered to be independent, if he/she:
• Is not employed by any party related to the company and has not been during the preceding five years.
• Does not have a family relationship with any party related to the company
• Is not affiliated with any company providing consulting services to the company or any of its related parties.
• Does not have any personal interests with the company or with any of its related parties or with its top management.
• Is not affiliated with any non-profit organization or association funded by the company or one of its related parties
• Is not working in an executive position in any other company in which executive employees of the company are acting as board members.
• Does not have any relationship resulting in financial dealings with the company, its mother company or its subsidiaries or affiliates
A numerical value used to measure changes in financial markets. Expressed as a percentage that describes the change at a particular point of time compared to the value at the starting point. The index measures the movement of stocks, bonds, funds, etc. up and down, which reflects the market price and direction. The index is the investors' yardstick for the level of the entire stock market and for the performance of a certain stock within the market.
An important economic indicator. It shows the rate at which prices are rising.
Initial Public Offering (IPO):
Also called the issuance market. It is the system by which companies finance their projects by issuing corporation stock to investors for the first time.
Institutions such as the pension funds, insurance companies, investment funds, investment banks, etc. whose main purpose is to place their own capital and the funds under their control in various investments.
The actual value of a security, as opposed to its market price or book value.
The underwriter, acting as a go-between a single investor or many investors and companies that want to issue new securities in the market.
A company that uses its capital to invest in different securities.
Pool of different investments by which an investor bets to make a profit (or income) while aiming to preserve the invested (principal) amount. These investments are chosen generally on the basis of different risk-reward combinations: from 'low risk, low yield' (gilt edged) to 'high risk, high yield' (junk bonds) ones; or different types of income streams: steady but fixed, or variable but with a potential for growth.
ISIN means International Securities Identification Number. It is a unique international code which identifies the securities issued.