Glossary of Key Terms

• Passive Voice: A grammatical construction where the subject of a sentence receives the action rather than performs it.
• Securities: Financial instruments that represent ownership (stocks) or debt (bonds) in a company or government entity.
• Dividends: A portion of a company's profits distributed to shareholders, often in cash or additional shares.
• Common Stock: A type of security representing basic ownership in a company and typically grants voting rights to the holder.
• Preferred Stock: A type of security representing ownership in a company that usually does not grant voting rights but pays fixed dividends.
• Stock Exchange: A marketplace where stocks and other securities are bought and sold, like the NYSE and Nasdaq.
• Voting Rights: The rights granted to shareholders, usually common stockholders, to participate in major company decisions such as electing the board of directors.
• Bonds: A type of security representing a debt instrument where an investor loans money to a company or government entity.
• Principal Amount: The initial amount of money borrowed or lent, particularly referring to the initial value of a bond.
• Maturity: The date on which the principal amount of a bond is repaid to the bondholder.

Need Classes?

Legal English innovation has several classes weekly, focusing on commercial law and other areas to help you communicate better with your clients.

+57 320-315-4781

Follow us on Instagram!

Friends on Facebook?

Like us on Linked In?