In this www.VideoVocab.TV lesson, we’ll look at English financial vocabulary related to stocks and shares, which are one of several types of securities that are listed on exchanges. We’ll explore ideas such as brokers and brokerages, as well as stock indexes, initial public offerings, or IPOs and dividends.

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Companies raise
money by selling
stocks or shares
in the company
to investors.
stocks & shares

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stocks & shares
Stocks can rise or
fall depending on
supply & demand,
performance and
the economy.

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“I own shares in large companies
like Wal-Mart and Coca Cola,
but I also have stock in some
new tech start-ups.”
example:

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securities

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Securities are
a type of
investment sold
by corporations
& governments.
securities

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Securities are
usually divided into
debt, in the form of
bonds, and equity, in
the form of stocks.
securities

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“In the United States, the
sale of securities is closely
regulated by the SEC.”

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stock exchange
An exchange is a
place or electronic
platform where
securities are
bought and sold.

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stock exchange
Popular exchanges
include the New
York Stock
Exchange, Nasdaq,
and the LSE.

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example:
“The New York Stock Exchange,
like most exchanges, is closed
for weekends and holidays.”

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listed
to be listed on

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listed
When a company
lists its stock, it
registers the
stock for sale on
an exchange.

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to be listed on
To be listed on an
exchange, a company
must meet certain
requirements such as
regular reporting.

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example:
“Samsung is the tenth largest
company listed on the New
York Stock Exchange.”

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stockbroker

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A person who buys
and sells stocks for
investors and
provides advice about
stock investments.
stockbroker

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brokerage
A company
that employs
stock-brokers
to trade stocks
for clients.

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example:
“I called my stockbroker and
asked him to put in an order for
5,000 shares of Microsoft.”

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index

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index
A statistical
measure of how
a section of the
stock market is
performing.

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index
Well-known indices
include the Dow
Jones Industrial
Average and
the S&P 500.

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example:
“Many investors watch Germany’s
DAX index to find out how the
European markets are doing.”

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initial public offering

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An IPO is a
company’s first
or initial sale
of stock to
the public.
initial public offering

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An IPO can give a
private company
access to capital
to expand.
IPO

29. example:
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“Facebook’s I P O saw the sale of
over 420 million shares and about
$16 billion in new capital.”

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dividends

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Dividends are a
portion of a
company’s
profits paid to
its shareholders.
dividends

32. example:
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“I prefer to invest in large,
stable companie s that pay
quarterly di v idends.”

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Practice
Now, it’s
your turn
to practice!

34. example
For example, if you hear…
Text
I am going to call my
<beep> and ask him to
sell my shares in Apple.

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You can say ...
Text
I am going to call my
stockbroker and ask him
to sell my shares in Apple.

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get ready
to speak

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question 1
Investors were very
excited before Twitter’s
big <beep> in 2013.

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answer 1
Investors were very
excited before Twitter’s
big IPO in 2013.

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question 2
Samsung is the tenth largest
company <beep> on the New
York Stock Exchange.

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answer 2
Samsung is the tenth largest
company listed on the New
York Stock Exchange.

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question 3
I prefer to invest in large,
stable companies that pay
quarterly <beep>.

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answer 3
I prefer to invest in large,
stable companies that pay
quarterly dividends.

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question 4
The world’s biggest technology
companies are traded on the
NASDAQ stock <beep>.

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answer 4
The world’s biggest technology
companies are traded on the
NASDAQ stock exchange.

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