Investment Instruments
Bonds Bonds are long-term debt instruments issued by either a corporate or government entity for a specific period of time and interest rate. Funds stemming from the issuance of this instrument are used to finance the activities of the issuing entity. Tenure for the security ranges from a year and can extend to more than […]
Corporate Disclosure Concepts
Basic Principle The basic principle of the Exchange is to ensure full, fair, timely, and accurate disclosure of material information from all listed companies. Must be correct, factual, and clear. Must be sufficient to enable the public to make informed investment decisions. Must be disseminated through the Exchange so that everyone has equal access to […]
The Board Lot Table
Trading of stocks is done by board lot or round lot system. The Board Lot Table determines the minimum number of shares one can purchase or sell at a specific price range. Therefore, the minimum amount needed to invest in stocks varies and will depend on the market price of the security as well as […]
Types of Stock Trading Orders
All stock trades consist of at least two orders – one buy and one sell order – usually with one order to enter the trade, and one or more orders to exit the trade. A single order is either a buy order or a sell order. An order can be used either to enter […]
How Do You Make Your Money Grow in Stocks?
There are two ways to make your money grow in the stock market: Through an increase in stock price or capital appreciation. Capital appreciation is an increase in the market price of your stock. It is the difference between the amount you paid when buying shares and the current market price of the stock. However, […]
The PSE Index Series
The PSE index series consists of the PSEi, six sector indices and the All Shares Index. With the exception of the All Shares Index, all these indices are free float-adjusted PSEi. The PSEi is the main index of the Exchange. It is composed of a fixed basket of 30 companies, whose selection is based on […]
Mutual Funds and UITFs
Investors who want to earn from stocks or bonds may find it difficult to actively trade or monitor the daily values of these securities. To address this problem, investors who don’t have time or expertise may instead choose to put their money in Mutual Funds or Unit Investment Trust Funds (UITFs). Mutual funds and […]
The Basic Settlement Process
The settlement process refers to the completion of a PSE trade effected by the delivery and payment of the securities on settlement date. For traditional stockbrokers, settlement of all transactions, either buying or selling is done after two (2) trading days from the transaction date or T+2. This means that the buyer must pay for […]
