Stag

An investor applying for a new issue of shares who hopes/intends to sell them speedily at a substantial profit once trading starts on the stockmarket.

The stag is more likely to profit and, therefore, be found taking part in a fixed price offer for sale in which all investors submit applications to buy at a price fixed by the issuing house .

The stag is more of an endangered species in a tender issue where potential buyers are required to nominate the price they are willing to pay - the premium when trading starts is likely to be far smaller in the latter case.

See Also: Online share dealing service Stockmarket Centre

Last Updated: April 2008 © Moneyextra.com

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