List of Glossary Terms
The PDSnet Glossary of Terms contains definitions and explanations for over 2600 financial market terms. These definitions are constantly kept up-to-date with current topical examples from the markets. They are also updated for changes in legislation and current events like COVID19 and the July 2021 civil unrest.
The terms in the Glossary are directly linked to all PDSnet articles, confidential reports, lecture modules and other material. This means that a client reading one of our publications can immediately see which terms are defined in the Glossary and click through to read the definition. Terms within the definitions in the glossary are similarly linked, which gives the Glossary an enormous educational depth share market investors.
| T |
The symbol for a transaction's date used by the JSE. Thus T is the date on which a transaction takes place, T+1 is the next trading day, T+n is the day... read more |
| SHARE DEALER |
Someone who deals in shares as their business. A person or organisation that buys and sells shares can be declared by the Receiver of Revenue to be a share... read more |
| SUSTAINABILITY |
A buzz-word which came into fashion in 2015 with the King 3 report on corporate governance. Sustainability is the ability of a corporation... read more |
| SUSTAINABILITY REPORT |
Public companies and state-owned enterprises are required to produce an environmental, social and governance (ESG) report which details their (1)... read more |
| SWAPS |
The sale of one security to purchase another with similar features. |
| SWING CHART |
A chart that has a straight line drawn from each price extreme to the next price extreme based on a set criteria such as percentages or number of... read more |
| SYMMETRICAL TRIANGLE FORMATION |
Two converging trendlines, more or less equally but inversely sloped, which connect a series of peaks and troughs. A break out upwards signals the... read more |
| SYNDICATED LOAN |
A loan which is provided by a group of investors as opposed to a single lender. Typically very large loans are supplied by a syndicate of banks who thereby... read more |
| SYNERGISTIC MARKET ANALYSIS |
Also known as synergistic analysis. An analytical method that merges technical analysis and fundamental analysis with an emphasis on inter-market analysis. |
| SYNERGY |
This is a fashionable word to denote gains made in addition to the sum total of the parts when two business concerns are joined. The basis of the concept in some... read more |
| SYNTHETIC SECURITIES |
Security created by buying and writing a combination of options that imitate the risk and profit profile of a security. |
| SYSTEMATIC RISK |
The risk which attaches to the market itself as opposed to the risk that attaches to a specific share (unsystematic risk). This refers... read more |
| SYSTEMIC RISK |
This risk refers to the scenario when a disruption at an institution such as the JSE or a bank or the STRATE settlement system could... read more |
| SYSTEMICALLY IMPORTANT FINANCIAL INSTITUTION |
A financial institution that is so large and so integrated into the economy that its failure would be catastrophic. Systemically important financial... read more |
| NON DISCRETIONARY STOCKBROKING ACCOUNT |
A stockbroking account where the client must make all the decisions about what to buy and sell and when to do it. A discretionary account allows... read more |
| STOP ORDER |
An order that becomes a market order when the futures contract reaches a particular price level. A sell stop is placed below the market,... read more |
| STOP AND REVERSE |
A stop that, when hit, is a signal to reverse the current trading position, i.e., from long to short. Also known as a reversal stop. |
| STOKVEL |
A stokvel is an investment or savings club, where the members agree on a monthly contribution. The benefits are paid to the members in turns, eg,... read more |
| STOCKBROKING FIRM |
To buy and sell shares on the Johannesburg Securities Exchange, you will need to open an account with a stockbroking firm. Stockbroking firms employ... read more |
| STOCKBROKING ACCOUNT |
Before you can buy shares on the stock exchange, you must first open a stockbroking account and deposit some funds into it. Stockbrokers offer... read more |
| STOCKBROKER |
A member of the stock exchange who has passed the required exams and been accepted by the stock exchange. All the transactions done on the JSE must... read more |
| STOCK TURN RATIO |
A ratio which shows how quickly a company is turning over its stock. Obviously, companies are always trying to minimise the amount of stock... read more |
| STOCK JOBBER |
Originally, a stock jobber was a market maker on the London Stock Exchange (LSE), prior to the dematerialisation of shares and the advent... read more |
| STOCK INDEX FUTURES |
A futures contract traded that uses a market index as the underlying instrument. Typically, the value of the contract is $500 times... read more |
| STOCK EXCHANGE TRADING SERVICE |
The London Stock Exchange's "Stock Exchange Trading Service" (SETS) electronic order book. The London Stock Exchange sold its Sets order-driven trading... read more |
| PRESCRIBED ASSET |
The government policy that a specific asset must be held by a retirement fund in terms of the law. This idea was introduced by the National Party in 1956... read more |
| NON-FARM PAYROLL |
An economic statistic from America which includes all employees in America except for farm workers, employees of non-profit organisations (like charities)... read more |
| EXHAUSTION GAP |
When a share's price has been rising for some time and quickly, it will sometimes have a day where the lowest price is far above the previous day's... read more |
| MINORITY INTEREST |
A shareholding of less than 50% of the total issued share capital of a company. Companies work on the principle of majority rule - decisions... read more |
| TAKE-HOME PAY INDEX |
An index prepared by Bankserv Africa which incorporates just over one third of salary and wage payments, mostly from large corporates but also from... read more |