Brexit

Trading Basics

Brexit

The process of the United Kingdom (UK) leaving the European Union (EU) – it is a combination of ‘British’ and ‘exit’.

Other Trading Basics

Ask Price

The ask price is the level at which a seller is willing to accept a bid on a security.

The ask price is always higher than the bid price.

Also known as the offer price.

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Collateral

The resources put up by the trader to enter a trade.

Requested by the counterparty and normally in the form of cash but sometimes other liquid assets like shares.

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AIM

Alternative Investment Market. A small cap stock market in the UK.

Lighter listing rules reduce the costs for the companies listing and seeking external equity finance.

A good starting point for growth companies not quite ready for the main LSE.

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