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Add to your financial vocabulary – an intermediate overview

Increase your knowledge of the buzz words we use every day.

Sometimes jargon is intuitive. And sometimes it’s just plain baffling. However, once unfamiliar terms are explained, everything becomes clear. Financial jargon is no exception. If you’re thinking of pursuing a career in financial services, get the heads up on some of our specialist terminology below. Your new knowledge will give you a leg up.

  1. Ask
    What it means: Price at which you’re willing to sell a security
    When you’ll hear it: On the phone with a client
  2. Bid
    What it means: Price at which you are willing to buy a security
    When you’ll hear it: On the phone with a client
  3. Bookrunner
    What it means: One of the main underwriters (aka investment banks) behind the issue of an equity or debt security; can be active or passive
    When you’ll hear it: While watching financial news
  4. Prosup
    What it means: Short for Prospectus, which is the main legal document for a securities issuance
    When you’ll hear it: When walking clients through a new securities offering
  5. Long
    What it means: Buying a security that you expect will rise in value
    Where you’ll hear it: On the trading floor
  6. Short
    What it means: Selling a borrowed security that you expect will fall in value
    Where you’ll hear it: On the trading floor
  7. 10K
    What it means: An annual financial report published by publicly traded companies
    When you’ll hear it: While researching a potential client
  8. 8K
    What it means: Breaking news from a publicly traded company
    Where you’ll hear it: In the morning research meeting

If that all makes sense, why not see if even more advanced jargon is plain English to you? Or perhaps you want to check your understanding of terms that are a bit less complex.

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