PRINT PAGE | SHOW LIST
Search for a word:  
A
  ASSETS
    All the items that the company owns such as financial and property investments and classified by two types: the current assets and non current assets. The most famous current assets are the cash and cash equivalent such as the bank deposits and they considered of short term, i.e., less than one year and the non current assets that have a term of long than one year such as buildings and equipment in addition to the intangible assets such as trade name, goodwill, patents, trademarks …etc.
  ANNUAL REPORT
    A financial statement that shows the financial results of a company at the end of the year and it includes detailed information related to the financial position, legal obligations, next year’s plan and other notes
  AUDITOR’S REPORT
    The report that consists of a neutral technical opinion on the audited financial statements.
  AUTHORIZED SHARE CAPITAL
    The share capital of the company approved by official and concerned authorities.
  ASK PRICE & BID PRICE
    The bid price is the least price required and ask price is the highest price offered to the securities.
B
  BOOK VALUE
    The value that the shareholder expects to receive in the event of liquidating the company and it is computed as follows:
Book value = Total of Stockholders Equity/ # of shares outstanding
  BROKER
    The Juristic person licensed to carry out brokerage work in the market
  BOND
    A debt instrument that gives its holder the right in periodical interests as well as the right in recovering the amount paid on a specific date and there are two types of bonds issued by the government for public expenditure and bonds issued by the companies.(corporate)
  Blue Chips
    They are the shares of high quality and credibility companies and they are characterized by their strong financial positions.
  BULL MARKET
    This is the condition of the market when the share prices tend to increase, the confidence of investors is available and the market is actively trading
  BEAR MARKET
    This is the condition of the market when the share prices tend to decrease, the confidence of investors is semi absent and the market is inactive in trading.
  BETA
    A relative scale measuring the return of income and regular risks associated with the share of a company. If Beta per share is (1) this means that the share is considered as highly fluctuating and its relation with the market movement trend is positive. However, if Beta is less than one this means that the share is less fluctuating and its relation with the market movement trend is negative. If the Beta is less than zero then the share has a reverse relationship compared to the performance of the market and whenever the return increases the risks increase.
  BALANCE SHEET STATEMENT
    A statement that shows the assets and liabilities and equity of shareholders of a company
C
  CASH FLOW STATEMENT
    A statement that presents the cash proceeds (amounts received), cash payments and net change in the cash of three main activities, viz., operation activities, investment activities and financing activities of an economic establishment during a specific period
  CAPITAL GAINS
    The profit arising from the difference between the selling and purchase price of a security..
  COMPANIES CORPORATE GOVERNANCE
    The essential idea behind this concept that the management of the company should depend on efficiency and transparency and should be “socially responsible” for all its activities and should preserve the rights of the different parties (stakeholders) of the company such as shareholders, management, dealers and consumers of its products. Further the duties and responsibilities of each party, particularly the minority before the majority shareholders, should be identified as well as the board of directors, chairman, directors, managing director and others.
  CLOSING PRICE
    It is the weighted average of the daily trading prices of the security that is the result of dividing the total of the trading value of the security divided by the total daily trading of the same security.
  CURRENT LIABILITIES
    It is a short term liabilities (less than one year) and the company is obligated to meet them and example for that is account payables, Notes payables ,.. etc.
  CONVERTIBLE BOND
    It is the bond that has the characteristic of conversion to ordinary shares and this is mentioned in the conditions of its issuance they have incentive features, especially if successful companies issue them.
  CAPITAL MARKET AUTHORITY
    The concerned authority that organizes, issues licences and supervises the issue of the securities and trading in them inside the Sultanate and supervises Muscat Securities Market and all those who deal with it.
D
  DIVERSIFIABLE RISKS
    They are also called the market risks because they relate to the general laws of the Market, its movement, natural and political factors. It is difficult for the investor to control them but at the same time he could reduce their effect by the way of diversifying and distributing his investment portfolio.
  DIVIDENDS
    Division of returns after the approval of the board of directors to that division (whether it is a cash dividends or bonus shares) and this totally depends on the profits that the company realizes the extent of the cash liquidity that it gains. The board of director may decide not to distribute dividends with the objective of expand and diversify the activities of the company or other strategies.
E
  ECONOMIC RECESSION
    The economic instance characterized by increase of unemployment, decline in product, stagnancy in certain or all sectors of national economy which leads to fallback in purchase power and to firing of increasing numbers of employees and drop of wages
F
  FINANCIAL ANALYSIS
    Reading behind the figures. It is a process of study and interpretation of the contents of the financial statements with the objective to evaluate specific performance.
  FUNDAMENTAL ANALYSIS
    This type of analysis depends on the investment in securities for a long period and to consider the change in the share and its sector during a period of 6 to 18 months. The basic analyst depends on the general pattern of the economy and considering the specific sector and type and quality of the share between competitors thus assessing the strongest sector in the present economic cycle.
  FINANCIAL INSTITUTIONS
    They are the institutions such as pension funds, insurance companies, investment funds, investment banks etc…. and the main objective of establishing the investment institutions is to invest their funds and other parties funds.
  FISCAL YEAR
    The accounting year of the company and the period for calculating the financial year differs from one company to another, according to the nature and start of the business.
H
  HOLDING COMPANY
    It represents the parent company of the group and it holds the majority of its subsidiaries and it owns the right of vote and control over these subsidiary companies.
  HALL
    The place designated in the Market building to execute the sale and purchase of securities.
I
  INVESTORS’ CATEGORIES
    The investors are classified in terms of risk fluctuation to three categories: risk-averse (their facing to the risks requires securities so that they could do so), risk-seeking category (they go to the risk and are ready to bear any additional burden and they do not require securities) risk-indifferent category (they are insensitive to the risks and nothing prevents them from bearing them).
  INCOME STATEMENT
    A statement that shows the profit and loss account of a company and it consists of income and expenses in a specific period of time.
  INFLATION
    The state of the economy characterized by the devaluation of the money and it leads to the increasing in prices and weakness in purchase power.
  INTERNATIONAL SERIALIZATION CODING (ISIN)
    Used to define any security registered in a stock exchange in order to distinguish it from other securities in the other stock exchanges
L
  LEGAL RESERVE
    Amount deducted from the net profit of the year as percentage specified by the applicable commercial law.
M
  MATURITY DATE
    The date proposed to settle the nominal value to holders of bonds.
  MARKET CAPITALIZATION
    It is the market value of the shares and computed by multiplying the number of the subscribed shares at the close price on a specific period.
  MUTUAL FUNDS
    A range of carefully and accurately selected securities . It is represent companies investing their funds, collected from large number of investors. with existing of a special management to invest these funds. Their target public is the investors who do not have financial resources that suffice to build their own portfolio or those who have financial abilities but they lack the sufficient experience and knowledge or even time to manage their portfolio. There are two types of investment funds, i.e., the open investment funds and closed investment funds
  MSM 30 INDEX
    The price index that aims to manifest the daily changes in the prices of the companies listed in Muscat Securities Market in objective and fair form and it is weighted by the market value which is the most common manner to compute the indices in the securities markets. Muscat Market Index consists of (30) companies representing the different sectors of the market. It is constituted of three sector indices that are: banks and investment companies index, Industry index and services and insurance index. It is considered as an essential benchmark for the investors to compare the performance of their investment portfolios with the performance of the market in general.
  MUSCAT DEPOSITORY AND SECURITIES REGISTRATION COM
    This is the company that maintains the records of the shareholders, carries out depository and registration, maintains the securities sale and purchase contracts and substantiates transfer of ownership and issue data to the shareholders in this regard. The company is linked by electronic system with the Market to facilitate the transmission of data.
  MARKET VALUE
    The value of the share in the market and it is affected by the supply (number of shares available for sale) and demand (number of the shares that the investors intend to purchase).
N
  NON-DIVERSIFIABLE RISKS
    It is the risk of investing in specific security or firm such as the changes in interests rates, deterioration in the production process, inability of the company to settle the borrowed securities or transfer the investment to cash liquidity at reasonable prices.
  NOMINAL VALUE OF SHARE
    It is the nominal price that the company makes for the share since its inception and it normally does not relate to the price of the share in the market. However, the nominal value may change on dividing (stock Split) the share
  NOMINAL VALUE OF BOND
    It is a nominal price of the bond that should be paid by the issuer to the bondholder on the maturity date
O
  ORDINARY SHARES
    This represents an instrument that gives its holder the right in receiving retrun or asset of a joint stock company or the two rights together and it is represented in the shares and bonds
  Odd Lots
    It represents the trading process on 100 shares or less.
P
  PREFERENCE SHARE
    It is an instrument that bears the characteristics of ownership as well as the characteristics of the debt. The preference share would have specific maximum and minimum portion of the profits therefore it resembles the bond and at the same time it represents part of the ownership that it entitles its owner to have share in the realized profits
  PORTFOLIO
    The total of assets owned by any investor and the financial instruments should be diversified to avoid the risks and to follow the known proverb “don’t put all the eggs in one basket”.
  PUBLIC SUBSCRIPTION
    Inviting the public to subscribe in the shares of the joint stock company under incorporation or on increase of share capital of an existing company according to the conditions and rules issued in the prospectus approved by THE AUTHORITY
  PRIVATE PLACEMENT
    Invitation made to specific category or people to subscribe in the shares of a joint stock company or on increase of share capital of an existing company according to the conditions and requirements specified by THE AUTHORITY.
  PRIMARY MARKET
    It is the market in which the securities are offered to the public and issued within the laws, regulations, instructions and prevailing conventions. It is also called the issue market because within this market the securities are dealt with when the shares are issued for the first time through subscription.
  PARALLEL MARKET
    It is the part of the secondary market in which the trading in the shares of the companies in the hall is organized and it is governed by listing conditions relating to this market. This facilitates the early liquidity of the securities listed before listing them in the regular market.
  PAID UP SHARE CAPITAL
    The portion of the subscribed share capital that has been paid.
Q
  Quotation
    It is the bid & ask prices decided by buyers& sellers for the securities.
R
  REGULAR MARKET
    It is the part of the secondary market through which the trading of the shares of the companies are organized and it is governed by special listing conditions stipulated by the board of directors of the Authority.
  RECALLABLE BONDS
    They are the bonds that give the issuer of the bond to recall part or all the bonds issued before the maturity date and it would be bound to pay a value that exceeds the nominal value of the bond and this value is called the calling compensation
  RIGHT ISSUE
    The company giving the present (old) holders of shares the first right in purchasing the increase shares (in case that the company increases its share capital through issuing new shares) before offering them to others. In case the shareholder did not participate in the subscription and covering ,the company sells the shares to any other investor.
S
  SHAREHODERS’ EQUITY
    Represents the value of the shares owned by shareholders in a company and they are normally made of (paid up capital + reserves + retained earnings).
  STOCK SPLIT
    It is the process made to reduce the share price and expand the shareholders base by increasing the number of shares constituting the share capital and reduce the share market value without affecting the total shareholders equity. As an example 2 to 1 means distributing one share to each shareholder or giving two shares and recovering one share.
  SECURITIES
    They are shares and bonds issued by joint stock companies and bonds issued by the government and treasury any other securities traded in the stock exchange
  SUBSCRIBED SHARE CAPITAL
    The portion of the authorized share capital that has been subscribed.
  SECONDARY MARKET
    It is the market in which the processes of purchase and sale of securities are made either directly or through brokerage as well as exchange and transfer of the ownership of this security in the hall, offices of the brokers or offices of the market.
T
  THIRD MARKET
    This is the part of the secondary market that organizes the trading outside the hall takes place, in the brokers offices, in the shares of the companies on which the specific listing conditions of trading inside the hall do not apply or in the instances the transfer of the ownership of securities is made outside the hall without interference of brokers
  TREASURY SHARES
    When the company repurchases its traded shares and maintains them in its treasury and they are not considered among outstanding shares
  TECHNICAL ANALYSIS
    This type of analysis depends on the ability to predict the up and down future movement of the share and the decision of the technical analysts to purchase and sell the shares depends on the up or down movement of the share.
V
  VOTING RIGHT
    The privileges entertained by the shareholder to vote on the policies and decisions of the company in the general meetings that are convened annually. Whenever the holding of the investor in the shares increases, his right in voting on the decisions taken in the business of the company increases.