Bellwether is a security or indicator used to predict the direction of a market or sector. Notable examples include IBM in stocks and the 30-year U.S. Treasury Bond in bonds.
A bond broker is a financial professional who specializes in buying and selling bonds on behalf of clients. They execute bond trades on the floor of exchanges or trade corporate, U.S. government, or municipal debt issues over the counter, often acting for large institutional accounts.
First Call is a financial service network historically used by institutional investors, financial analysts, and corporate executives for timely and accurate earnings estimates and financial data.
The fourth market involves the direct trading of large blocks of securities between institutional investors, bypassing brokers to save on commissions.
A Glamor Stock is a type of stock that has a wide public and institutional following, often due to consistently rising sales and earnings over a long period. These stocks tend to outperform market averages during bull markets.
An institutional investor is an organization, such as a bank, insurance company, or pension fund, that trades in very large volumes of securities. Institutional investors tend to dominate stock exchanges in many countries.
Investment value represents the estimated worth of an investment to a specific individual or institutional investor. It can differ from market value based on the unique circumstances and requirements of the investor.
Investment-Grade describes bonds suitable for purchase by prudent investors. Standard & Poor's (S&P) designates the bonds in its four top categories (AAA down to BBB) as investment-grade.
In the context of the stock market, the term 'Nifty Fifty' refers to 50 stocks that were once highly favored by institutional investors, achieving immense popularity particularly during the bull markets of the 1960s and early 1970s. These stocks were considered premium holdings due to their strong growth potential and favorable market performance.
A presold issue refers to the issuance of municipal bonds or government bonds that is completely sold out before the price or yield is publicly announced. This typically happens through prerelease sales to institutional investors.
A Private Equity Fund is a collective investment scheme used primarily for acquiring or providing business capital, usually structured as a limited partnership, that receives capital from various accredited and institutional investors.
A secondary distribution refers to the public sale of previously issued securities held by large investors, such as corporations, institutions, or affiliated persons, rather than a new issue where the seller is the issuing corporation.
A secondary offering, also known as a secondary distribution, is the sale of new or closely held shares of a company by investors, usually institutions, who are selling off their positions entirely or part of it.
A code of best practice for institutional investors, such as pension funds, insurance companies, and investment trusts, which sets guidelines on how these entities should engage with their investee companies, notably in the exercise of voting rights.
A bond issued by a Japanese-registered company in a currency other than yen but targeted primarily at the Japanese institutional investor market.
The third market involves non-exchange-member broker-dealers and institutional investors trading exchange-listed securities over the counter (OTC).
