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Bear hug |
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Bear hugA takeover bid which is so generous to the shareholders of the target company that the directors decide to accept the terms rather than face the wrath of their own shareholders.Similar MatchesPermanent interest bearing sharesPermanent interest bearing sharesPibs are shares issued by building societies which pay a fixed rate of interest rather than a dividend. For the building societies concerned, they are a way of raising money without demutualising. As an investor, the rate of interest you receive will be the rate in effect at the time you bought your shares. Even though the rate on the PIB may change, your income will always be the same - the rate at the time you bought. It is important to note that the % rate applies to the original issue price of the PIB, not to the current share price. So if the interest rate is 10% when you buy and the original issue price is 100p, the annual interest will be 10p even if the current share price is 150p. Although Pibs are 'safe' in the sense that there is a quantifiable, regular and certain income, there is a risk of capital erosion if the share price falls below what you paid. On the plus side, if you sell your Pibs and make a capital gain, there is no CGT to pay. One of the disadvantages of Pibs is that minimum investment levels can be quite high (£20,000+) and liquidity is quite low. There aren't many building societies left to issue new Pibs, and trading in existing Pibs is quite low. Noninterest bearing noteNoninterest bearing noteA note without periodic interest payment, but selling at a discount and maturing at face value. See: Zero-coupon bond. Bear CDBear CDA bear CD pays the holder a fraction of any fall in a given market index. Bearer stocks/sharesBearer stocks/sharesStocks or shares which do not record owner's names and for which the companies do not keep a register of ownership. Possession of the certificate is therefore the only proof of ownership. Bearer shareBearer shareSecurity not registered on the books of the issuing corporation and thus payable to possessor of the shares. Negotiable without endorsement and transferred by delivery, thus avoiding some of the control associated with ordinary shares. Dividends are payable upon presentation of dividend coupons, which are dated or numbered. Applies mainly to international equities. Further SuggestionsBull bear bondbear trap bear call spread bear spread Wall Bearing Construction Nonbearing Wall bearer bond Bear trap bear market bear put spread Bearer bond Bonds Enabling Annual Retirement Savings (BEARS) bear Dollar bears Forbearance Bear market BEARS Bearish Matured noninterest bearing debt Bear raid |
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