Studies share price movements, volume of trading, market trends and patterns in order to predict future price movement, supply and demand. The following entities are also excluded from free trading: public sector banks, public insurance companies, public sector institutes, holding companies, Employee Share Ownership Associations (ESAs). Also, the founders of any company, no matter the size of their ownership, are excluded from free trading as they are not allowed to sell their shares, according to the law, during the first two years of company operation. The ownership of any public investment fund (banks, public insurance companies) of less than 5% is considered free trading since they are privately managed by private fund management companies.
A system that continuously provides the latest market prices and the volume of securities transactions
This term may refer to two different operations: First, the delivery of a stock certificate from the seller’s broker to the buyer’s broker, normally accomplished within a few days or second, to record the change of ownership in the books of the corporation.
Stock issued by a company but is later reacquired through the Stock Exchange. Treasury stock does not convey the right to dividends and voting while held by the company.
A percentage measured by dividing the value of the traded shares during a year by the market capitalization of all the shares listed in the stock exchange during the same year.