Glossary of Terms

  • Paper Loss

    When your investment value has fallen in value but you have not realised that loss by selling at that moment in time.
  • Partial execution

    When only a part of an order is executed.
  • Participating Preference Shares

    Normally the fixed rate dividend paid to Preference Shareholders is worked out as a percentage of their Nominal Value. For example, a 1% £1 preference share will entitle the owner to a fixed Dividend of 1p per share held. Sometimes a company's Articles of Association may give "participating rights" to the Preference Share owner. This means that if the company has a particularly profitable period, it may offer to pay the Participating Preference Shareholder even more than their fixed dividend offers.
  • Pending Order

    Indicates that an order which has been placed
  • Permanent Interest Bearing Shares (PIBS)

    Permanent Interest Bearing Securities (PIBS) are deferred shares issued by building societies, listed and traded on the London Stock Exchange. As building societies are mutual organisations, they cannot raise capital via a rights issue like banks, so issuing PIBS is a way of raising money without demutualising. Generally, they have a fixed coupon and are irredeemable or callable at the issuer’s option. Often, the coupon is reset to a floating rate if the call is not exercised.

  • Pink Sheets

    Pink Sheets are the leading provider of pricing and financial information for the over-the-counter (OTC) securities markets in the U.S. They provide market maker quotations, historical prices and corporate information about OTC issues and issuers.
  • Plus Markets

    Is a small and mid-cap stock exchange for London. It is a recognised investment exchange (RIE) in the UK, authorised to operate both secondary (trading) and primary (listing/quotation) markets.
  • Point

    A single movement up or down on a chosen instrument.
  • Pooled Investment

    Where various people invest (varying amounts of money) into a fund.
  • Preference Shares

    These are normally fixed-income shares whose holders have the right to receive dividends before ordinary shareholders but after debenture and loan stock holders have received their interest.
  • Price Movements

    Changes in prices.
  • Price to-Earnings Ratio (P/E Ratio)

    Is the relationship between a company's earnings and its share price, and is calculated by dividing the current price per share by the earnings per share.
  • PTM Levy

    Is used to fund the Panel on Takeovers and Mergers. Currently, a £1 PTM Levy is charged on all trades worth over £10,000.
  • Public offer

    Is a method of flotation in which a company issues shares to the public at large, including private and institutional investors.