Glossary of Terms

  • Rebound

    This occurs when the price of an instrument starts to recover.
  • Record Date

    Is also known as the register date, or books closed date. The company captures how its shareholder register stands on that date, and will send dividend payments to everyone on that list.
  • Redeemable Preference Shares

    These are preference shares with a fixed redemption date, on which the company will refund the owner with the nominal value of the shares.
  • Redemption Date

    The date on which a security (usually a fixed interest stock) is due to be repaid by the issuer at its full face value. The year is included in the title of the security; the actual redemption date being that on which the last interest is due to be paid.
  • Registrar

    An organisation responsible for maintaining a company's share register.
  • Real Estate Investment Company (REIT)

    Is a quoted company that owns and manages income-producing property, either commercial or residential, and is designed to offer investors income and capital growth from rented property assets in a tax efficient way.
  • Residual Shares

    These can't be settled through the usual CREST system, therefore the exchange of shares and cash has to take place outside of CREST.
  • Resolutions

    At company meetings, decisions are made by the passing of Resolutions.
  • Retail Price Index (RPI)

    A monthly index that shows the movement in the prices of goods and services purchased by most households in the UK.
  • Retail Service Provider (RSP)

    An RSP is a firm that provides the price feed for the online electronic quoting system similar to a computerised market maker. GAM uses a number of RSP's to help execute your order at the best price available electronically from an RSP.
  • Rights issue

    An invitation to existing shareholders to purchase additional shares in the company.
  • Risk/Reward Ratio

    How much you are willing to risk for the chance of a profit. Trading is about probabilities, not certainties, so we advise basing the position size on the capital in your account. We do not advocate risking more than 5% on each trade. By having a risk/return ratio of at least 2:1 you are targeting a profit that is substantially bigger than the potential loss, meaning that over time you aim to win more than we lose.