Word List

shares (Br. E.)/stocks (Am. E.) – акції

to go public – стати відкритим акціонерним товариством / публічною компанією шляхом випуску акцій на ринок

flotation (Br. E.) / Initial public offering (IPO) (Am. E.) – первинне розміщення акцій

to underwrite the share issue – гарантувати розміщення випуску цінних паперів

due diligence – комплексна перевірка

prospectus – проспект емісії акцій

equity / equities – фондові акції

to make a capital gain – отримувати приріст капіталу

ordinary shares (Br. E.) / common stock (Am. E.) – звичайні акції

to give sb more say in sth – зробити чиюсь думку вагомішою у чомусь

preferred stock (Am. E.) / preference shares (Br. E.) – привілейовані акції

fixed dividend – фіксований дивіденд

return on investment – дохідність інвестованого капіталу; прибуток від інвестицій

сumulative preference shares – накопичувальні привілейовані акції

outstanding amount – несплачена сума

сonvertible preference shares – конвертовані привілейовані акції

rights issue – випуск (емісія) прав (випуск нових акцій, що пропонуються акціонерам компанії за нижчою ціною, ніж ринкова)

to be listed / quoted – бути включеним до котирувального листка, котируватись на фондовій біржі

trading hours – час біржової сесії; час офіційної торгівлі на біржі

market maker – маркет мейкер; організатор торгівлі на ринку

to quote bid and offer / ask prices – визначати / встановлювати біржову ціну попиту (покупця) і ціну пропозиції (продавця)

spread – спред; різниця між курсами

mark-up – надбавка; позитивна для дилера різниця в ціні під час продажу цінних паперів

buying and selling orders – заявки на купівлю та продаж

settlement day – розрахунковий день

to charge commission – стягувати комісію

to retain earnings – утримувати прибуток від розподілення

scrip issue / capitalization issue / bonus issue – бонусна емісія

own shares (Br.E.) / treasury stock (Am.E.) – власні акції; акції, викуплені у акціонерів

stock index – індекс акцій

blue chips – «блакитна фішка»; надійна, першокласна акція

growth share – акція росту; акція, ціни на яку підвищуються

income share – дохідна акція

defensive share – захищена акція; низькоризикова і відносно низькодохідна акція зі стабільним біржовим курсом

value share – недооцінена акція

bull – бик

bear – ведмідь

stag – олень

Exercise 4. Give Ukrainian equivalents to the following words and word-combinations.

To offer for sale to the general public, to go public, to underwrite the share issue, IPO (initial public offering), to commission a due diligence report, a detailed examination of financial situation, to issue a prospectus, equity / equities, equity financing, debt financing, to bear the largest part of the risk, to be obliged to pay a dividend, to be entitled to one vote per share, to offer a safer return on investment, to make a capital gain, an initial flotation, a rights issue, to be listed / quoted on the secondary market, major stock exchanges, over-the-counter market, nominal value, business day, to quote bid and offer prices, a market maker, a mark-up, to place an order with a stockbroker, a day trader, to sell shares before the settlement day, to charge low commissions, to capitalize, scrip issue, reputation for reliability.

Exercise 5. Find in the text English equivalents to the following words and word-combinations. Make up your own sentences using them.

Залучати капітал, здійснювати вихід на фондовий ринок, здійснювати емісію акцій, аудиторська фірма, додаткова емісія акцій з переважним правом існуючих акціонерів на їх придбання, проста акція, привілейована акція, конвертована привілейована акція, фінансування через емісію акцій, фінансування шляхом залучення позичкового капіталу, отримувати дохід від приросту капіталу(від продажу акцій), акціонер, біржа, бути включеним до котирувального листа, подавати заявку на купівлю та продаж брокеру, стягувати невелику комісію, капіталізувати частину прибутку, внутрішньоденний трейдер, бонусна емісія акцій, спред, зводити покупців та продавців, замовляти висновок за результатами комплексної перевірки, продавати акції раніше розрахункового дня, викуплені власні акції, інституційний інвестор, активи компанії.

Exercise 6. Here are some word-combinations from the text. Match and translate them into Ukrainian.

1.	to commission	a.	ownership
2.	part	b.	a report
3.	outside	c.	the company
4.	to run	d.	Day
5.	outstanding	e.	investors
6.	business	f.	Amount

Exercise 7. Put the words and phrases in the table below.

Stock, IPO, share, flotation, common stock, treasury stock, ordinary shares, a shareholder, a stockholder, own shares.

British English	American English

Exercise 8. Match words and phrases in the box with their definitions.

1.	underwriter	a.	the highest price brokers are willing to pay for shares
2.	rights issue	b.	the difference between the bid and the offer
3.	to raise capital	c.	the lowest price at which the shares sell
4.	prospectus	d.	the first sale of a company’s stocks to the public
5.	stock exchange	e.	a situation in which a company decides to capitalize part of the profits and instead of paying dividends, they issue new shares, which are then given free to the shareholders in proportion to the number of shares they already own
6.	spread	f.	an occasion when new shares are offered to existing shareholders, often at a price lower than the current market price
7.	bid	g.	a bank or financial institution that arranges to sell shares to investors and agrees to buy any shares that are not bought; it gets a commission on what they sell and for acting as an intermediary
8.	scrip issue	h.	certificates representing part-ownership of a company
9.	blue chips	j.	to turn profits into stocks or shares
10.	share	k.	a document that gives information about a company’s shares before they are offered for sale
11.	to quote	l.	to get money from investors with which to run a business
12.	offer	m.	a market where securities are bought and sold under fixed rules
13.	to capitalize	n.	the shares of well-established commercial and industrial companies that produce quality goods or service and are considered the best, most reliable investment on the market
14.	flotation	o.	to give the price of a share on a stock exchange
15.	ordinary shares	p.	the most common form of shares

Exercise 9. Fill in the missing prepositions.

From, at (2), up, in (2), to, with.

1. The shares are traded … the stock exchange on which the company is quoted. 2. Computerized automatic systems are used to match … buyers and sellers. 3. If you want to buy some shares you should place your order … a stockbroker. 4. Market makers are traders … shares who quote bid and offer prices. 5. Some investors want to make a capital gain by selling shares … a profit. 6. If a company wants to capitalize it may issue new shares … existing shareholders instead of paying them a dividend. 7. Investors expect growth shares to rise … value. 8. If a company chooses equity financing money raised …equities doesn’t need to be paid back.

Exercise 10. Match two columns. Use the correct forms of word-combinations to complete the sentences below.

go produce underwrite offer retain make receive

a capital gain a dividend an issue a prospectus shares public earnings

1. After three profitable years, our company is planning to ____________ and we are _______100.00_______ for sale. We’ve __________ a very attractive ____________, and although a leading investment bank is __________ the _____, we don’t think they will have to buy any of the shares. 2. I pay less tax on capital gains than on income. So as a shareholder, I prefer not to ________a ________. If the company ______ its________, I can _________ ____________ by selling my shares at a profit instead.

Exercise 11. Complete the sentences using your knowledge of different categories of shares.

1. Pension funds and insurance companies, which can’t take risk, usually only invest in …..

2. The stocks of food, tobacco and oil companies are usually …., as demand doesn’t rise or fall very much in periods of economic expansion or contraction.

3. A stock whose price has suddenly fallen a lot after a company had bad news could be a …. , as it will probably rise again.

4. This stock used to be considered an …, but two years ago the company started to cut its dividend and reinvest its cash in business.

5. The company is planning a … of one additional share for every three existing shares.

6. The financial director announced a forthcoming … of new shares to existing shareholders as the company needed further capital.

Exercise 12. Study the contexts for the verbs “to list” and “to quote”. Give Ukrainian equivalents to the following English sentences. Illustrate the use of the verbs with the examples of your own.

1. The company has applied to list its shares on the New York stock exchange.

2. The Swiss firm listed in London three years ago.

3. The company is quoted on the New York stock exchange.

4. Traders quoted the securities at about 70 cents on the dollar.

5. Trading in the NASDAQ-quoted stock was halted temporarily.

6. The target of the takeover bid is a firm, which is not listed.

7. The exchange requires companies to maintain a minimum share price or be delisted.

8. The company is trying to avoid delisting from NASDAQ.

Exercise 13. Check your knowledge of the stock market. Answer these questions.

1. What is the difference between a share and a stock? What does a share represent?

2. Why do companies issue shares?

3. What is an IPO?

4. What are the steps of becoming a listed company? What is the underwriter’s role?

5. In what way is equity financing different from debt financing?

6. What are the forms of equities? Characterize them.

7. What are the two main ways the shareholders make money from shares?

8. What is a rights issue? When a company makes a rights issue, the share price usually goes down. Why is that?

9. How is the stock market divided? What is the difference between a primary listing and the secondary market?

10.Where are stocks bought and sold?

11.What are the major organized stock exchanges and OTC exchanges?

12.What do market makers and stockbrokers do?

13.What do the shareholders’ decisions depend on?

14.Who are day traders?

15.Are companies obliged to pay a dividend to their shareholders? What alternative do they have? Why do some companies choose not to pay dividends?

16.How is stock market performance measured?

17.What categories of shares do investors and financial journalists single out?

18.What are the stock exchange “animals”?

Exercise 14. A. Learn more about investing in stocks. Fill in the gaps with the vocabulary from the box.