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.
| FACE OF THE ACCOUNTS |
The actual income statement and balance sheet - as opposed to the notes to those accounts. Certain information is always shown on the face of the... read more |
| FACE VALUE |
The dollar value of a US Treasury Bill at maturity. T-Bills are issued at a discount to face value and gradually increase in value until reaching the full... read more |
| FACTOR |
A mechanism for financing a business by selling its debtors' book to a financing company, known as a "factor", usually at a significant discount. This method... read more |
| FACTOR MARKET |
A market for one of the factors of production. Traditionally in economics there are four factors of production identified - labour, land, capital... read more |
| FACTORING |
A mechanism for financing a business by selling its debtors' book to a financing company, known as a "factor", usually at a significant discount. This method... read more |
| FACTORS OF PRODUCTION |
An economics concept which refers to the four broad categories of scarce resources used in the economy. Those resources are land, labour,... read more |
| FACTORY OUTPUT |
An economic indicator which measures the output from manufacturing. Manufacturing production is measured and published monthly. Following... read more |
| FADE |
Selling a rising price or buying a falling price. A trader fading on an up opening would be short, for example. |
| FAILED STATE |
The governing ability of a failed state is weakened to an extent where it is unable to fulfil the organisational and administrative functions required to control... read more |
| FAILED TRADE |
A securities trade in equities, bonds or other securities where either the seller fails to supply the security of the buyer fails to supply... read more |
| FAILURE |
In Elliott wave theory, a five-wave pattern of movement in which the fifth impulse wave fails to move above the end of the third, or in which the... read more |
| FAILURE SWINGS |
The inability of price to reaffirm a new high in an uptrend or a new low in a downtrend. |
| FAIR VALUES |
(1) A value for the shares of dissenting shareholders in determining their appraisal rights. The Companies Act (71 of 2008) allows minority shareholders the right to have their shares bought... read more |
| FAIS |
This Act (37 of 2002) tries to protect the public from financial advisors and those who sell financial/investment products. It substantially increases the... read more |
| FALLING THREE METHODS |
A candlestick formation which occurs in an established bear trend and which is used to predict the continuation of that trend. This formation... read more |
| FAMILY GROUP |
A holding company which is currently owned and controlled by a single family. There are many such companies listed on the JSE. Here... read more |
| FANG |
The four new high-tech companies which are dominating the New York Stock Exchange. They are Facebook, Amazon, Netflix and Google. All four companies... read more |
| FAST MARKET |
A temporary situation in open outcry markets where market conditions in the stockmarket and other markets are volatile and excessively heavily... read more |
| FAST MOVING CONSUMER GOODS |
This is a category of retailers which sell products that have a relatively short sales cycle - like groceries, clothing and small appliances. Typical... read more |
| FDI |
All investment into South Africa by foreigners. FDI is a very important factor in the South African economy. We have some tremendous successes and... read more |
| FED |
The governing central bank of the US also known as "the Fed". There are twelve regional federal reserve banks in America, located in Boston, New York, Philadelphia,... read more |
| FEDERAL DEPOSIT INSURANCE CORPORATION |
A self-sustaining, independent executive agency established to insure deposits of all US banks entitled to federal deposit insurance, as stated by the Federal... read more |
| FEDERAL OPEN MARKET COMMITTEE |
The monetary policy making committee of the US Federal Reserve Bank. The Federal Open Market Committee (FOMC) consists of twelve members--the seven members... read more |
| FEDERAL RESERVE BANK |
The governing central bank of the US also known as "the Fed". There are twelve regional federal reserve banks in America, located in Boston, New York, Philadelphia,... read more |
| FENCE STRATEGY |
An options strategy which uses three contracts to establish a range around a security or commodity. It locks in the value of a position... read more |
| FERRO-CHROME |
A metal alloy of chromium and iron, mostly used in the production of stainless steel. Ferro-chrome produced in South Africa has a very low... read more |
| FIA |
The US national trade association for Futures Commission Merchants. The FIA is the only association representative of all organisations that have an interest in... read more |
| FIAT CURRENCY |
All currencies were originally commodity currencies - which means that they had the value inherent in the commodity which they were made of. Thus,... read more |
| FIBONACCI RATIO |
The ratio between any two successive numbers in the Fibonacci sequence, known as phi (f). The ratio of any number to the next higher number is approximately... read more |
| FIBONACCI SEQUENCE |
The sequence of numbers (0, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233...), discovered by the Italian mathematician Leonardo de Pisa in the 13th century and the... read more |
| FICA |
This Act (38 of 2001) is known as FICA and it came into effect on 1st July 2001. The objective is to combat crimes such as tax evasion and money laundering... read more |
| FIFO |
The "first in first out" method of valuing stocks. The assumption is made that the oldest stock is sold first when valuating what remains at the end of... read more |
| FIFO |
This is a method of valuing stock which assumes that the oldest stock in the warehouse is used before the more recently purchased stock. Since the price... read more |
| FIH |
This is a theory put forward by Hyman Minsky which postulates that modern economies can reach a point where excessive bullishness predominates and is ultimately overtaken by a return to reality.... read more |
| FILL |
An executed order; sometimes the term refers to the price at which an order is executed. |
| FILL OR KILL |
(FK) means the full order must be executed immediately or otherwise cancelled. |
| FILL ORDER |
An order that must be filled immediately (or cancelled). |
| FILTER |
A device or program that separates data, signal or information in accordance with specified criteria. So a charting program typically contains a filter... read more |
| FILTER POINT |
The time at which a portfolio insurance program makes an adjusting trade. |
| FINAL ACCOUNTS |
Sometimes known as an Annual Report or just the "financial statements", this is a document required by the Companies Act (71 of 2008) to be... read more |
| FINAL CONSUMPTION EXPENDITURE |
A national accounts figure which includes that expenditure which is undertaken by individuals and companies within a country or whose main business is inside... read more |
| FINAL DIVIDEND |
... read more |
| FINAL FINANCIAL STATEMENTS |
Sometimes known as an Annual Report or just the "financial statements", this is a document required by the Companies Act (71 of 2008) to be... read more |
| FINAL GOOD |
A "good" or product which is consumed rather than used to create another product. This is as opposed to intermediate goods which are used in the manufacture... read more |
| FINAL RESULTS |
Sometimes known as an Annual Report or just the "financial statements", this is a document required by the Companies Act (71 of 2008) to be... read more |
| FINALS |
Sometimes known as an Annual Report or just the "financial statements", this is a document required by the Companies Act (71 of 2008) to be... read more |
| FINANCE COSTS |
A disclosable expense which comes about as a result of a company having interest-bearing debt. Finance costs are usually disclosed... read more |
| FINANCIAL ACCOUNTING |
A set of conventions for recording and gathering financial transactions in an organisation. The academic discipline which is accountancy has established a set... read more |
| FINANCIAL ADVISOR |
To become a certified financial planner (CFP) you must have a post-graduate qualification from one of the recognised Financial Planning Institute's (FPI) approved... read more |
| FINANCIAL ADVISORY AND INTERMEDIARY SERVICES ACT |
This Act (37 of 2002) tries to protect the public from financial advisors and those who sell financial/investment products. It substantially increases the... read more |
| FINANCIAL DIRECTOR |
One of the directors of a company who is responsible for the company's finances. The Companies Act makes no distinction between the various directors of a company - they... read more |
| FINANCIAL FUTURE |
A futures contract which has as its underlying instrument a financial indicator such as an index or an exchange rate. Clearly,... read more |
| FINANCIAL INDEPENDENCE |
Obviously, every private investor's goal is to reach a point of financial independence, where they no longer have to "work for a living", but can live off... read more |
| FINANCIAL INSTABILITY HYPOTHESIS |
This is a theory put forward by Hyman Minsky which postulates that modern economies can reach a point where excessive bullishness predominates and is ultimately overtaken by a return to reality.... read more |
| FINANCIAL INSTITUTION |
A financial institution is one which makes its profits by dealing with other people's money. Perhaps the best example is a commercial bank, but there... read more |
| FINANCIAL INTELLIGENCE CENTERS ACT |
This Act (38 of 2001) is known as FICA and it came into effect on 1st July 2001. The objective is to combat crimes such as tax evasion and money laundering... read more |
| FINANCIAL MARKETS ACT |
This Act which came into force in the middle of 2014 brings our legislation into line with international norms. Its objective is to tighten up control over the... read more |
| FINANCIAL MEDIA |
These are newspapers, magazines, talk shows and websites that are devoted to reporting on developments in the financial markets for the benefit of... read more |
| FINANCIAL RATIO |
The relationship between two figures from the financial statements, designed to show the profitability or effectiveness of the management within... read more |
| FINANCIAL REPORTING STANDARDS COUNCIL |
The FRSC replaced the Accounting Practices Board in October 2011 as the official body determining accounting standards in South Africa. It is established... read more |
| FINANCIAL RESULTS |
Sometimes known as an Annual Report or just the "financial statements", this is a document required by the Companies Act (71 of 2008) to be... read more |
| FINANCIAL SECTOR CONDUCT AUTHORITY |
Previously known as the Financial Services Board (FSB). The Financial Sector Conduct Authority (FSCA), newly named with the advent of the Twin Peaks mechanism,... read more |
| FINANCIAL SECTOR REGULATION ACT |
Brought into effect on 22 August 2017, the Financial Sector Regulation Act (9 of 2017) introduces the Twin Peak model, which is a new regulatory environment... read more |
| FINANCIAL SERVICES BOARD |
Previously known as the Financial Services Board (FSB). The Financial Sector Conduct Authority (FSCA), newly named with the advent of the Twin Peaks mechanism,... read more |
| FINANCIAL SERVICES CHARTER |
The major sectors of the South African economy are governed by sets of rules... read more |
| FINANCIAL SERVICES PROVIDER |
The Financial Advisory and Intermediary Act provides for the registration of persons (natural or corporate) to give investment advice to investors.... read more |
| FINANCIAL STABILITY OVERSIGHT COMMITTEE |
The Financial Stability Oversight Committee consists of the Reserve Bank, the National Treasury and the Financial Services Board established... read more |
| FINANCIAL STABILITY REVIEW |
A publication produced by the Reserve Bank twice a year with the aim "to identify and analyse potential risks to financial system stability, communicate... read more |
| FINANCIAL TIMES |
This is an English daily financial paper that has become international and which is published digitally. It is owned by the Japanese company, Nikkei which also... read more |
| FINANCIAL TIMES INDUSTRIAL INDEX |
A share price index calculated hourly during business hours from an unweighted average of thirty leading blue chips listed on the London... read more |
| FINANCIAL TIMES STOCK EXCHANGE |
Financial Times Stock Exchange. This is a company which specializes in calculating indexes on the London Stock Exchange (LSE). It has produced... read more |
| FINANCIAL TIMES STOCK EXCHANGE 100 INDEX |
A market capitalisation weighted index of the 100 largest companies trading on the London Stock Exchange (LSE). This index is... read more |
| FINANCIAL TIMES STOCK EXCHANGE GROUP PLC |
Financial Times Stock Exchange. This is a company which specializes in calculating indexes on the London Stock Exchange (LSE). It has produced... read more |
| FINANCIAL YEAR |
The period of time over which the financial affairs of a company are being accounted for in the financial statements. The matching principle... read more |
| FINANCIAL YEAR-END |
In terms of section 27 of the Companies Act (71 of 2008), every company is required to have a financial year-end which is the end of its accounting... read more |
| FINANCIALLY DISTRESSED |
This refers to a company which does not have sufficient short-term cash flow to meet its immediate expenses. When a company is in "financial distress",... read more |
| FINANCIALS |
These are share in the financials sector of the JSE. They are mainly involved in banking, asset management or insurance. Financial... read more |
| FINISHED GOODS |
Products which are ready for sale. Usually a manufacturing company will divide its inventory (stock) into 3 categories - raw materials, work-in-progress... read more |
| FINTECH COMPANY |
A fintech company is one which has developed a financial product which is offered through the internet. The banks are heavily into fintech these... read more |
| FIRM INTENTION |
This is an offer to buy some or all of the shares of another company which takes the form of an announcement on the Stock Exchange News Service... read more |
| FIRMING TREND |
A market which is gradually getting stronger - successive highs and lows are higher than previous highs and lows. Firming trends can be short-term... read more |
| FIRST NOTICE DAY |
The first day on which notice of intent to deliver a commodity in fulfilment of an expiring futures contract can be given to the clearing house... read more |
| FIRST WORLD ECONOMY |
These are the larger and better established economies that have substantial capital bases and a long track record of effective management. Their... read more |
| FIRST-IN-FIRST-OUT |
This is a method of valuing stock which assumes that the oldest stock in the warehouse is used before the more recently purchased stock. Since the price... read more |
| FISCAL |
Every government spends money and levies taxes to finance its expenditure. Every government must therefore regularly decide how much to spend, what to spend it... read more |
| FISCAL CLIFF |
A radical reduction in government spending caused by an unforseen event or series of events which increase government debt substantially. America almost... read more |
| FISCAL CONSOLIDATION |
Concrete policies undertaken by government to stem debt accumulation and reduce the fiscal deficit. This can be achieved by an increase in revenue,... read more |
| FISCAL DRAG |
Bracket creep, also called "fiscal drag" occurs because, with inflation, tax payers are pushed into higher tax brackets each year. In normal circumstances... read more |
| FISCAL POLICY |
Every government spends money and levies taxes to finance its expenditure. Every government must therefore regularly decide how much to spend, what to spend it... read more |
| FISCAL STIMULATION |
The government of a country can stimulate its economy in two primary ways - through monetary policy (mostly by reducing the repo rate) of... read more |
| FISCAL YEAR |
The financial year of the government. In South Africa our fiscal year runs from 1st March until the 28th or 29th of February the following year. Our budgets... read more |
| FISCALÂ DRAG |
Bracket creep, also called "fiscal drag" occurs because, with inflation, tax payers are pushed into higher tax brackets each year. In normal circumstances... read more |
| FISCUS |
The National Treasury falls under the Ministry of Finance and is established in terms of section 13 of the Constitution to manage the government's finances. Through... read more |
| FITCH |
One of the three internationally recognised rating agencies (along with Standard and Poors and Moodys). Ratings agencies rate governments,... read more |
| FIX |
The result of a twice-a-day dedicated conference between the 15 members of the London Gold Market Fixing Ltd. Previously this meeting was held at the premises... read more |
| FIXED ASSET |
An asset which is expected to last and be useful for a number of years, and which is held for use in the production or supply of goods or... read more |
| FIXED COSTS |
These are costs which a company has to pay, whether or not they sell anything. So expenses like rent, telephone, salaries and so on. This... read more |
| FIXED COSTS |
A fixed expense which must be paid irrespective of the level of sales. Good examples are rent, salaries and telephones. These expenses are sometimes... read more |
| FIXED EXCHANGE RATES |
Following the Bretton Woods agreement most currencies (and especially the US dollar) were fixed against gold. President Nixon abandonned Bretton... read more |
| FIXED INCOME |
These are investments which give a set return, such as preference shares, bonds, debentures and savings accounts. |
| FIXED INCOME INVESTMENT |
These are investments which give a set return, such as preference shares, bonds, debentures and savings accounts. |
| FIXED INTEREST UNIT TRUST |
A unit trust which only invests in fixed interest investments on the money market, sometimes also called a "fixed interest unit trust".... read more |
| FLAG |
This is a fairly rare charting formation which can occur in a upward trend, downward trend or horizontal where the market enters... read more |
| FLAG FORMATION |
A charting formation where the price chart forms a pattern which looks something like a triangle. The difference between a pennant... read more |
| FLASH FILL |
Order filled immediately by hand signal on an "open outcry" trading floor. |
| FLEDGLING |
These are ordinary shares which comply with all listing requirements, but are too small to be included in the All Share Index and which are... read more |
| FLIGHT TO QUALITY |
A period when international investors are for some reason "spooked" and rush to take money out of more risky investments (like emerging markets)... read more |
| FLIPPING |
The practice of buying shares in a new listing before it comes to the market with the objective of making a profit when trading begins. |
| FLOAT |
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| FLOATING |
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| FLOOR BROKER |
An individual who executes orders on the trading floor of an "open outcry" exchange for any other person. They are independent members... read more |
| FLOOR TRADER |
An individual who is a member of an exchange and trades for his own account on the floor of the exchange. |
| FLOW OF FUNDS STATEMENT |
Today, this statement is more commonly called a "Flow of Funds Statement" but is also known as the "Cash Flow Statement". It aims to show where the cash in the... read more |
| FLOWBACK |
The selling of shares due to a merger between companies in different countries where some shareholders do not want to have exposure... read more |
| FLYERS |
Speculative or high-risk trades. |
| FMCG |
This is a category of retailers which sell products that have a relatively short sales cycle - like groceries, clothing and small appliances. Typical... read more |
| FOCUS |
The degree to which a company can concentrate it's energy on its core business. Philip Kotler, the world-renowned management consultant said that the most... read more |
| FOLLOWING YOUR RIGHTS |
When a company decides to raise additional capital by offering its existing shareholders additional shares in proportion to the number... read more |
| FOMC |
The monetary policy making committee of the US Federal Reserve Bank. The Federal Open Market Committee (FOMC) consists of twelve members--the seven members... read more |
| FORCE MAJEURE |
In law this refers to an unpredictable event which prevents one party from completing its obligations in terms of a contract. Most major contracts contain a force... read more |
| FORCE MAJEURE |
A completely unpredictable event or "black swan" (see "The Black Swan" by Nasssim Talbert) event, usually but not always occurring as a result... read more |
| FORECAST ORIGIN |
The most recent historical period for which data is used to build a forecasting model. The next time period is the first forecast period. |
| FORECLOSURE |
A legal option available to a lender who has an asset as collateral which entitles him to sell that asset to recover what is owed to him. In general,... read more |
| FOREIGN ASSETS |
Assets held outside of a country minus its foreign liabilities. In South Africa, most foreign assets are held by companies which are required... read more |
| FOREIGN COLLECTIVE INVESTMENT SCHEME |
This is a collective investment scheme which has at least 85% of its investments outside South Africa all the time. Collective investment schemes are controlled... read more |
| FOREIGN CURRENCY |
The foreign exchange (forex) market. This is the cash or "spot" market for foreign currencies. Trade does not occur on centralized contract markets... read more |
| FOREIGN DIRECT INVESTMENT |
All investment into South Africa by foreigners. FDI is a very important factor in the South African economy. We have some tremendous successes and... read more |
| FOREIGN EXCHANGE |
The foreign exchange (forex) market. This is the cash or "spot" market for foreign currencies. Trade does not occur on centralized contract markets... read more |
| FOREIGN EXCHANGE FUTURE |
A contract to exchange one currency for another at a specific future date (the expiration date) and at a specified rate (the exchange rate). More... read more |
| FOREIGN INVESTMENT ALLOWANCE |
A limit on the amount that South Africans can take out of the country for investment purposes. At the moment that limit is set at R10m per annum in addition... read more |
| FOREIGN INVESTOR |
This refers to any non-South African who brings money into South Africa. The government is at pains to encourage foreign investors into South Africa to... read more |
| FOREIGN INWARD LISTING |
A foreign company, listed on the JSE and classified by the South African Reserve Bank (SARB) as foreign for index purposes. These companies... read more |
| FOREIGN RESERVES |
A reserve of precious metals and foreign currencies kept by the Reserve Bank. |
| FOREX |
The foreign exchange (forex) market. This is the cash or "spot" market for foreign currencies. Trade does not occur on centralized contract markets... read more |
| FOREX FUTURE |
A contract to exchange one currency for another at a specific future date (the expiration date) and at a specified rate (the exchange rate). More... read more |
| FORMAL BUSINESSES |
That part of the economy that operates within the country's laws. It complies with all the laws on income tax, licencing, reporting and other regulations.... read more |
| FORMAL SECTOR |
That part of the economy that operates within the country's laws. It complies with all the laws on income tax, licencing, reporting and other regulations.... read more |
| FORMATION |
The discipline of "technical analysis" or "charting", as it is sometimes called, consists of studying chart patterns with a view to establishing... read more |
| FORMATION ANALYSIS |
The study of technical analysis can be divided into three primary areas - Formation Analysis, Line charts and Wave and Cycle Theories. Formation... read more |
| FORWARD (CASH) CONTRACT |
A contract which requires a seller to agree to deliver a specified cash commodity to a buyer sometime in the future. All terms of the contract are customised,... read more |
| FORWARD BOOK |
This is the state of the Reserve Bank's forward book in the foreign currency market. In the past, the Reserve Bank ran a substantial... read more |
| FORWARD BOOK |
An account in the derivatives market that the Reserve Bank maintains to execute transactions in the currency market. There is always... read more |
| FOUNDING DATE |
The date on which a company was founded. You should bear in mind that this date is often long before the date that the company was listed on the... read more |
| FOUR PRICE DOJI |
A candlestick where all four prices, high, low, close and open are all the same for one trading day. On a well-traded... read more |
| FRAMING OR FRAME DEPENDENCE |
This is a concept from behavioural finance. It is the tendency to evaluate current decisions within the framework in which they have been presented. For example,... read more |
| FRAUD ON THE MINORITY |
An old concept which has been replaced in the Companies Act (71 of 2008) in sections 163/4 with the concept of a dissenting shareholder and their... read more |
| FREE CARRY |
This is a percentage of a company's equity and profits that is not paid for. This is typically enforced by law in favour of the government... read more |
| FREE CASH FLOW |
The cash generated by a company from its sales (revenue) less its operating expenses and any capital expenditure that it may... read more |
| FREE DEALING |
A term used to describe listed shares which trade in large volumes regularly and can be bought or sold freely on the Securities Exchange.... read more |
| FREE FLOAT |
The proportion of a company's shares which are held by the public at large. This excludes shares which are part of a lock-in or which are destined... read more |
| FREE MARKET |
This refers to a market which is free from interference or control by government. In such markets prices are determined by the interaction of supply... read more |
| FREE TRADE |
This refers to a market which is free from interference or control by government. In such markets prices are determined by the interaction of supply... read more |
| FREE-FLOAT MARKET CAPITALISATION |
The free float of a company's shares multiplied by their current market price. Also known as the free float market cap., or the investable... read more |
| FRIEDMAN MILTON |
Friedman was a Nobel prize winning American economist who developed the economic school of thought known as "monetarism". This school rejected the Keynesian... read more |
| FRONT END DEBT-TO-INCOME RATIO |
A ratio which measures how much of a person's gross monthly income is allocated to their cost of housing. Their cost of housing is either rent or mortgage... read more |
| FRONT END RATIO |
A ratio which measures how much of a person's gross monthly income is allocated to their cost of housing. Their cost of housing is either rent or mortgage... read more |
| FRONT MONTH |
The first expiration month in a series of expiration months. Futures contracts typically expire at the end of March, June, September and December. |
| FRONT-LOADED |
Commission and fees taken out of investment capital by an asset manager before the balance of the money is put to work. |
| FRONT-RUNNING |
The practice of trading ahead of large orders to take advantage of favourable price movements. Brokers are prohibited from this practice. |
| FRONTING |
In terms section 1 of the Broad Based Black Economic Empowerment Act (53 of 2003), fronting is any activity which undermines the Act. In effect this means... read more |
| FRSC |
The FRSC replaced the Accounting Practices Board in October 2011 as the official body determining accounting standards in South Africa. It is established... read more |
| FRYING PAN BOTTOM |
This is the name that technicians give to the bottom formation of a share price where it drifts out slowly from a strong downward trend... read more |
| FRYING PAN TOP |
A cycle top on a chart which drifts out and down in a gradual loss of momentum. This is as opposed to a V top which is very sharp and sudden. Also called an... read more |
| FSCA |
Previously known as the Financial Services Board (FSB). The Financial Sector Conduct Authority (FSCA), newly named with the advent of the Twin Peaks mechanism,... read more |
| FSP |
The Financial Advisory and Intermediary Act provides for the registration of persons (natural or corporate) to give investment advice to investors.... read more |
| FT |
This is an English daily financial paper that has become international and which is published digitally. It is owned by the Japanese company, Nikkei which also... read more |
| FTSE |
Financial Times Stock Exchange. This is a company which specializes in calculating indexes on the London Stock Exchange (LSE). It has produced... read more |
| FTSE/JSE INDEXES |
The indexes are produced as a joint venture between the FTSE group and the JSE. These indexes are mostly in your software and have short codes beginning... read more |
| FTSE100 |
A market capitalisation weighted index of the 100 largest companies trading on the London Stock Exchange (LSE). This index is... read more |
| FULL EMPLOYMENT |
Full employment is defined by the International Labour Organisation as the level of employment where all those available and actively seeking work are able... read more |
| FULL SERVICE BROKER |
A stockbroking firm that mainatins a research department that does research on behalf of its clients and then charges higher brokerage fees. With... read more |
| FULLY DILUTED |
A per share ratio which uses the number of issued shares at the end of the accounting period. Typically a listed company... read more |
| FULLY DISCOUNTED |
When an event which impacts on the profitability of a listed company is fully reflected in its share price, we say that is has... read more |
| FULLY PRICED |
Fully priced is when the potential of a share to produce future dividends is fully discounted into its price. This means that there... read more |
| FUND MANAGER |
The JSE is dominated by institutional investors which account for as much as 90% of all trades. These institutions are pension funds, insurance... read more |
| FUND OF FUNDS |
This is a fund manager or unit trust which invests in other funds rather than investing directly into shares, bonds or other primary... read more |
| FUNDAMENTAL ANALYSIS |
The study of all factors which will impact the profitability of a company. Typically, the fundamental analyst is asking the question, "How good... read more |
| FUNDAMENTAL RISK |
This is the risk which is inherent in a particular company. It can be assessed by considering the company's financial statements or visiting... read more |
| FUNDAMENTAL TRANSACTION |
A transaction undertaken by a company which involves: (1) the sale of all or a large part of the assets of the company (2) a scheme of arrangement,... read more |
| FUNDAMENTALIST |
A person who uses fundamental analysis, (rather than technical analysis) to select shares and time their transactions in the stock market.... read more |
| FUNDAMENTALS |
All those factors which will tend to influence the future profits of a company. The most important of these is its past profitability - which... read more |
| FUNDING AGENCY |
An organisation established and funded by the government that provides funds to businesses which are furthering government's objectives. There are many such organisations.... read more |
| FUNGIBILTY |
The tradability of an asset, usually on an organised exchange. The ability to easily sell an asset can have a significant impact on its value. For... read more |
| FUNGIBLE |
Fungible instruments are securities which can be easily traded because they are homogenous (i.e. all the same). Organised exchanges deal in and guarantee... read more |
| FUNGIBLE INSTRUMENT |
Fungible instruments are securities which can be easily traded because they are homogenous (i.e. all the same). Organised exchanges deal in and guarantee... read more |
| FUTURE VOLATILITY |
A prediction of what volatility may be like in the future. The volatility of a share's price is determined by the degree to which it departs... read more |
| FUTURES CONTRACT |
A legally binding, standardised agreement to buy or sell a commodity or financial instrument at a future date. Futures contracts are standardised... read more |
| FUTURES INDUSTRY ASSOCIATION |
The US national trade association for Futures Commission Merchants. The FIA is the only association representative of all organisations that have an interest in... read more |