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Yankee auction |
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Yankee auctionAn auction of multiple identical items in which the winning bidders pay the prices that they have bid. For a contrasting system, see 'Dutch auction'.Similar MatchesAuction rate preferred stock (ARPS)Auction rate preferred stock (ARPS)Floating-rate preferred stock, whose dividend is adjusted every seven weeks through a Dutch auction. Walrasian auctioneerWalrasian auctioneerA hypothetical entity that facilitates market adjustment in disequilibrium by announcing prices and collecting information about supply and demand at those prices without any disequilibrium transactions actually taking place. Double auction systemDouble auction systemA market consisting of many sellers and many buyers, as opposed to a conventional auction with one market maker and many buyers. Dutch auctionDutch auctionAuction in which the lowest price necessary to sell the entire offering becomes the price at which all securities offered are sold. This technique has been used in Treasury auctions. Often used in risk arbitrage. Auction system in which the price of an item (stock) is gradually lowered until it meets a responsive bid (government T-bills) or offer (corporate repurchase) and is sold. In a corporate repurchase, a range of prices is set by the company within which shareholders are invited to tender their shares. The tender offer is open for a specific period of time (i.e., 20 days), and the quantity of stock to be purchased is stated as well, subject to proration if more shares are tendered than can be legally purchased under the stated terms (often an additional amount equal to 20% of outstanding shares can be purchased). The price paid is that at which the amount stated to be purchased can be sold. Compare to double auction system. Dutch Auction Preferred StockDutch Auction Preferred StockA form of adjustable-rate preferred stock in which the dividend is ascertained in a Dutch Auction process by corporate bidders every seven weeks. Further SuggestionsDouble auction marketAuction Market Preferred Stock (AMPS) Dutch auction Periodic call auction Auction markets |
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