A company executive who is responsible for the management, implementation and usability of information and computer technologies. The CIO will analyze how these technologies can benefit the company or improve an existing business process and will then integrate a system to realize that benefit or improvement. Taobiz explains Chief Information Officer - CIO The number of CIOs has increased greatly with the expanded use of IT and computer technology in businesses. The CIO will deal with matters such as creating a website that allows the company to reach more customers or integrating new inventory software to help better manage the use of inventory.
An exchange-traded fund that invests in manufacturers of chemicals. As of 2010, there are no pure-play chemical industry ETFs, but basic materials and agriculture ETFs may be suitable proxies for them, since the chemical sector usually accounts for more than 50% of their investments. Taobiz explains Chemicals Industry ETF The chemicals sector includes a broad range of companies, including manufacturers and distributors of paint, industrial gases and agricultural products such as potash. Chemical industry components of basic materials ETFs would typically include companies such as Du Pont and Dow Chemical. In agriculture ETFs, the chemical sector is represented by companies such as Monsanto.
The illegal practice of issuing stock options at artificially low prices shortly before an initial public offering. Often underwriters will require a company to have more qualified management before they can go public. They attract these qualified individuals by giving options with a low exercise price. Taobiz explains Cheap Stock Any option granted at a price that turns out to be only a small fraction of the actual IPO price will likely be regarded as cheap.
A fraudulent trading scheme where sell orders are entered by a broker who knows that offsetting buy orders, the same number of shares at the same time and at the same price, either have been or will be entered. Taobiz explains Circular Trading These trades do not represent a real change in the beneficial ownership of the security.
Refers to any of the measures used by stock exchanges during large sell-offs to avert panic selling. Sometimes called a "collar." Taobiz explains Circuit Breaker After an index has fallen a certain percentage, the exchange might activate trading halts or restrictions on program trading. For example, if the Dow Jones Industrial Average falls by 10%, the NYSE might halt market trading for one hour. There are other circuit breakers for 20% and 30% falls.
A securities exchange formed in 1885 by a group of Cincinnati businessmen. The CSE's headquarters moved to Chicago in 1995, and in 2003 the CSE changed its name to the National Stock Exchange (NSX) and now maintains its headquarters in New Jersey. The NSX is also best known for it's listings of Exchange-Traded Funds (ETFs). Taobiz explains Cincinnati Stock Exchange - CSE In 1980, the CSE replaced its physical trading floor with a much more efficient geographically dispersed electronic trading floor because of amendments made in 1975 to the Securities and Exchange Act. In 1986, the CSE became the first fully electronic exchange in the United States, capable of automatically executing orders through the Intermarket Trading System. The CSE was also the first exchange to introduce a competing specialist system, in 1992.
A slang phrase used in the equity market to refer to a trader's obligation to make calls and check possible prior obligations related to a security transaction. Prior obligations may include confirming certain transaction details, such as limit prices or conditional events. Taobiz explains Clean Your Skirts Most larger transactions, like those executed by financial institutions, require that traders clean their skirts. Before a trader is able to fill such an order, he or she will usually confirm the order is still executable; this will confirm that the trade is within the price limit and meets all of the client's conditions for an appropriate quantity.
1. Money or benefits that are distributed and then taken back as a result of special circumstances. 2. A retraction of stock prices or of the market in general. Taobiz explains Clawback 1. Purchasing certain investments provides taxable benefits contingent upon holding periods. When you sell these investments before they have reached maturity, the benefits must be returned. 2. In layman's terms, a fall in a stock's price right after an increase is called a clawback of the price.