Glossary

This glossary is available to download as a PDF

1. A
2. B
3. C
4. D
5. E
6. F
7. G
8. H
9. I
10. J
11. K
12. L
13. M
14. N
15. O
16. P
17. Q
18. R
19. S
20. T
21. U
22. V
23. W
24. X
25. Y
26. Z

E

E.D.R.

Euro Depositary Receipts. A certificate representing ownership of the issuer's underlying shares. The EDR is denominated and quoted in euros.

End/end

A transaction for settlement on the last business day of a month against the last business day of a future month.

Equity

The risk-sharing part of a company’s capital, usually made up of 'ordinary shares'.

E.T.F.

Exchange Traded Funds. Known in the USA as Index Shares. Stock Exchange quoted fund portfolios designed either as index trackers (Index Funds) or as managed stock baskets (Actively Managed Funds)

Eurobond

International bond denominated in a currency not native to the country in which they are issued.

European Style

An option which may only be exercised on the expiry date (see American style).

Exchange

Regulated exchanges include, LIFFE, CME, IPE, etc.

Exchange Traded

A transaction where a specific instrument is bought or sold on a regulated exchange, e.g. futures

Exercise

The conversion of the option into the 'underlying'.

Exercise Price

The price at which the option holder has the right Strike Price: to Buy/Sell the underlying instrument.