| English Term | Meaning |
|---|
| Secondary Market | A market where investors purchase securities or assets from other investors, rather than from issuing companies themselves. The national exchanges - such as the New York Stock Exchange and the NASDAQ are secondary markets.
Secondary markets exist for other securities as well, such as when funds, investment banks, or entities such as Fannie Mae purchase mortgages from issuing lenders. In any secondary market trade, the cash proceeds go to an investor rather than to the underlying company/entity directly. |
| Sectoral Index | A grouping of equities, indexes or other factors combined in a standardized way, providing a useful statistical measure of a specific sector in the market or sector performance over time. |
| Securities Investor Protection Fund : SIPF | A nonprofit corporation created by 28 paticipating brokers on October 1, 2003 to protect the clients of brokerage firms that are forced into bankruptcy. Members to the SIPC include all brokers and dealers. |
| Securities Lending | SBL (Securities Borrowing and Lending) is an agreement between a borrower and a lender. The lender agrees to transfer securities to the borrower at the agreed date and the borrower agrees to transfer the borrowed securities back to the lender at the due date of the agreement. To protect the risk that the borrower cannot deliver back the borrowed securities, the borrower agree to pledge his/her assets, at the same time, as collateral for the lender. During the period of borrowing, if the borrowed securities gain any benefits from the securities issuer, e.g. dividend and entitlement to subscribe for new ordinary shares, the borrower must compensate such benefits to the lender. |
| Securitization | Securitization is to combine assets of originator into one large pool assets in order to increase liquidity. For example, residence debtor, credit debtor or car debtor can transfer their assets to Special Purpose Vehicle (SPV) in order to issue Asset Backed Securities (ABS) and sell to investors. This process creates liquidity and bring return from the purchase of the asset pool. |
| Selling Short or Short Sell | The selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller. Short sellers assume that they will be able to buy the stock at a lower amount than the price at which they sold short. |
| SET 50 Index Future | SET50 Index Futures is the first product to be traded on TFEX. SET50 Index was launched in 1995 and it is the first large-cap index of Thailand to provide a benchmark of investment in The Stock Exchange of Thailand. It is calculated from the stock prices of the top 50 listed companies on SET in terms of large market capitalization, high liquidity. |
| Set 50 Index Options | SET50 Index Options is a contract that gives the buyer the right, but not the obligation, to buy or sell SET50 Index at a specific price on or before a certain date. An option, just like a stock or bond, is a security. It is also a binding contract with strictly defined terms and properties. The advantage of options is that you aren't limited to making a profit only when the market goes up. Because of the versatility of options, you can also make money when the market goes down or even sideways. SET50 Index Options is the second product on TFEX and was launched on October 29th, 2007. |
| SET Index | The SET Index was created to accommodate the issuing of index futures and options in the future, and to provide a benchmark of investment in the Stock Exchange of Thailand. |
| SET50 Index | The SET50 Index was created to accommodate the issuing of index futures and options in the future, and to provide a benchmark of investment in the Stock Exchange of Thailand. |
| Settle or Settlement Price | In derivatives markets, the price used for determining profit or loss for the day, as well as margin requirements. The settlement price is the average price at which a contract trades, calculated at both the open and close of each trading day. Additionally, it is important because it determines whether a trader may be required to post additional margins. It is generally set by defined procedures that differ slightly among each exchange and the instrument traded. |
| Settlement date | The date by which an executed security trade must be settled. That is, the date by which a buyer must pay for the securities delivered by the seller. |
| Share Distribution | Share Distribution is the act of distributing a company’s shares to the shareholders. If a company has good share distribution, the selling of a large amount of share by a shareholder will not affect the share’s price. |
| Short Position | The sale of a borrowed security, commodity or currency with the expectation that the asset will fall in value. |
| Short Sell | The selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller. Short sellers assume that they will be able to buy the stock at a lower amount than the price at which they sold short. |
| Silent Period | In terms of an IPO, the period where an issuer is subject to a SEC ban on promotional publicity. The silent period or the quiet period usually lasts either 40 or 90 days from the IPO. |
| SP : Suspension | A stoppage in the trading of a security for an extended period of time that normally occurs when there is a lack of material financial information on the security. Once the security is suspended, shares of that security cannot be traded on the market until the suspension is lifted or lapses. The exact amount of time for the suspension will be determined on on a case-by-case basis. |
| Specific Fund | Specific Fund is a fund that has the lower-than-standard investment distribution policy in comparison to that issued by Securities and Exchange Commission. |
| Speculator | Speculator is a person who trades Futures for a higher-than-average profit and anticipates Futures price movement to be in his expected direction. |
| Spot Market | Sport market is a securities market in which goods are sold for cash and delivered immediately. Conversely, a Futures transaction for which securities can be bought and delivered in the future. |
| Spot Price | The current price at which a particular security can be bought or sold at a specified time and place. A security's spot price is regarded as the explicit value of the security at any given time in the marketplace. In contrast, a securities futures price is the expected value of the security, in relation to its current spot price and time frame in question. |
| Spread | The difference between the bid and the ask price of a security or asset. |
| ST : Stabilization | ST is a security of a listed company that is purchased for allocation of surplus securities. |
| Stock Dividend | Stock Dividend is another means of dividend payment made in the form of additional shares. For example, 10% Stock Dividend payment means each shareholder will be given 10% of their original shares. Stock Dividend will not affect the entrepreneurship. The purpose often lies in keeping cash for further investment. |
| Stock Index | Stock Index is a statistic measure of change in a securities market. For instance, SET50 Index is ordinary stock index that expressed the terms of a change of 50 ordinary securities listed in the Stock Exchange. |
| Stock Index Futures | A futures contract on a stock or financial index. For each index there may be a different multiple for determining the price of the futures contract. |
| Stock Index Options | Stock Index Option is a privileged option for shareholders to buy or sell a stock that is a part of the overall Stock Index Options. It is an instrument that securities and investment accomplices use for risk management from the vitality of stock market. Buying and selling bonds also serves as another investment option and raise arbitrage for augmenting market force. |
| Stock Options | A privilege, sold by one party to another, that gives the buyer the right, but not the obligation, to buy (call) or sell (put) a stock at an agreed-upon price within a certain period or on a specific date. |
| Stock Split | A corporate action in which a company's existing shares are divided into multiple shares. Although the number of shares outstanding increases by a specific multiple, the total dollar value of the shares remains the same compared to pre-split amounts, because no real value has been added as a result of the split. |
| Subordinated Debenture | Subordinate debenture is a class of bond that the holder can repay the price after other secured bonds in case of the Subordinate Bond issuer gets bankruptcy. A Subordinate Bond must follow the terms and conditions applied. |
| Subscription Date | The date at which a security is first made available for public purchase. The initial offering date is set during the underwriting process. For stocks, this marks the date of the initial public offering and the beginning of a quiet period, when insiders and underwriters cannot issue earnings forecasts or research reports on the company. This term also refers to the initial offering of shares in other assets, such as mutual funds and unit investment trusts (UITs). |
| Subsidiary | A company whose voting stock is more than 50% controlled by another company, usually referred to as the parent company or holding company. A subsidiary is a company that is partly or completely owned by another company that holds a controlling interest in the subsidiary company. If a parent company owns a foreign subsidiary, the company under which the subsidiary is incorporated must follow the laws of the country where the subsidiary operates, and the parent company still carries the foreign subsidiary's financials on its books (consolidated financial statements). For the purposes of liability, taxation and regulation, subsidiaries are distinct legal entities. |
| Swap | Traditionally, the exchange of one security for another to change the maturity (bonds), quality of issues (stocks or bonds), or because investment objectives have changed. Recently, swaps have grown to include currency swaps and interest rate swaps. |
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