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12 Cards in this Set
- Front
- Back
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mark to the market
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when one party to a contract becomes partially unsecured due to a change in the stock's market value covered by a contract. A mark to the market is a request for additional collateral.
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Rule 144
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good for 90 days.
Need not be filed if 5,000 or fewer shares are sold and the dollar amount is $50,000 or less. |
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Shelf registration
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Allows an issuer to sell the registered securities for up to 3 years from the effective date for an established company.
2years for a new company This allows an issuer to time its sales with market conditions. |
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agreement among underwriters (or syndicate letter)
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Details the participation and obligations of each syndicate member.
"Cooling-off period", "registration period", and "effective date" are terms that apply to nonexempt issues that must be registered with the SEC in accordance with the Securities Act of 1933. Municipal issues are exempt from these registration requirements. |
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25 days
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For new issues that qualify for listing on an exchange or Nasdaq, the prospectus delivery requirement period in the aftermarket is 25 days
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90 days.
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For new issues, If the new issue will trade on the OTCBB or "Pink Sheets", the period is 90 days.
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Third-market trades
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involve listed securities traded over the counter.
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5% markup policy
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Applies to agency and principal nonexempt securities and transactions both exchange and OTC traded. It does not apply to prospectus offerings (mutual funds and new issues).
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Shelf offerings
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Are used by publicly traded companies to issue additional equity or debt securities.
The issuer must sell the securities within 3 years after the registration is declared effective. |
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a firm commitment
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When the investment banking firm (underwriters) winning the competitive bid have agreed to purchase the entire issue from the issuing corporation with the obligation to resell to the public.
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Rule 144A
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Regulates the trading of restricted securities by institutional investors known as qualified institutional buyers (QIBs).
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Rule 144 sale of restricted stock
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Stock sold through a 144 sale is considered registered stock after the sale.
After holding the stock for 6 months, nonaffiliates may sell unrestricted |
