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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. Bull bear bondBull bear bondBond whose principal repayment is linked to the price of another security. The bonds are issued in two tranches: In the first tranche repayment increases with the price of the other security, and in the second tranche repayment decreases with the price of the other security. Bonds Enabling Annual Retirement Savings (BEARS)Bonds Enabling Annual Retirement Savings (BEARS)Holders of BEARS receive the face value of bonds underlying call option, which are exercised by CUBS (an acronym for Calls Underwritten by Swanbrook). If the calls are exercised by CUBS, BEARS holders receive the total of the exercise price. BearishBearishWords used to describe investor attitude. Noninterest bearing noteNoninterest bearing noteA note without periodic interest payment, but selling at a discount and maturing at face value. See: Zero-coupon bond. Further Suggestionsbear call spreadDollar bears Bear trap bearer bond bear put spread Nonbearing Wall bear trap Matured noninterest bearing debt Bearer bond Bear CD bearer stocks/shares BEARS Bear market bear market Bearer share Wall Bearing Construction bear spread bear Bear raid Forbearance |
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