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Conversion Ratio

A provision in a company’s prospectus that spells out the number of common shares a holder of convertible securities will…

Creation Unit

A subset of an exchange-traded fund (ETF) that is representative of the shares comprising the fund. ETFs shares are redeemed…

War Brides

A jargon phrase that refers to the stocks and bonds of companies whose primary business activity is defense contracting. For…

War Babies

A jargon phrase that refers to the stocks and bonds of companies whose primary business activity is defense contracting. For…

DECS

An acronym for debt exchange for common stock. It is a convertible security which constitutes a listed structured product issued…

Arbitrage

A trading tactic in which an asset is bought at a low price on one market and then is immediately…

ATB

It stands for against the box; a short sale which is carried out by the holder of a long position…

Against The Box

A short sale which is carried out by the holder of a long position in the same stock being sold. The…

CUSIP Number 

A nine-character numbering system that is used to identify companies and individual securities in the United States and Canada. More…

Consortium CN

A crossing network (CN) that is established and owned by a consortium- i.e., a number of partners, such as banks,…