Kate Mechele B.

Durano
MA-21

1. History of Philippine Stock exchange?

The Philippine Stock Exchange first appeared in 1993, but its history runs much longer.
The exchange was a merger of the Manila Stock Exchange and the Makati Stock
Exchange, which created a single exchange in the Phllippines. The merger also served
as a symbol to a country that had seen its share of political divisions that the nation
could act in a singular direction.

2. What are the common term used in the stock investments?

Invest – putting your money where it can grow
Stock – a share in the company
Dividends – the amount of money paid by the company to its shareholders
Common Stock – the type of stock that is least prioritized when declaring dividends
and mostly profits through price appreciation
Preferred Stock – the type of stock that is first prioritized when declaring dividends
Risk – the potential of either gaining profits or losing your capital
Returns or Rewards – profits earned by investors
Short Term – less than six weeks (may vary)
Medium Term – six weeks to nine months (may vary)
Long Term – more than nine months (may vary)
Investors – people who invest their money with the expectation of gaining returns
over a longer timeframe
Traders – people who buy and sell stocks to earn from price growth over a shorter
timeframe
Blue-Chip Stocks – stocks of the biggest companies in the country
Growth Stocks – stocks which have high growth potential
Value Stocks – stocks which have low price-to-earnings or P/E ratio
Speculative Stocks – stocks which carry high risk compared to similar stocks
Defensive Stocks – stocks which do not decrease in price immediately, even when the
market is down
Penny Stocks – stocks which trade at a very low price
Stock Market – where investors or traders buy and sell company stocks
Stock Market Index – a measurement of the value of the entire stock market or a
particular industry in the market
PSEi (aka PSE Composite Index) – the stock market index of Philippine Stock Exchange
which consists of top 30 listed companies based on market capitalization
Industry Index – the index of a group of companies which are classified based on their
business activities (i.e. Financial, Holdings, Industries, Mining & Oil, Properties,
Services)
Bullish – used to describe a particular stock market or stock when its value is going up
Bearish – used to describe a particular stock market or stock when its value is going
down
Initial Public Offering (IPO) – when firms are selling their company shares for the first
time in the public to raise capital
Market Value – the value at which a stock can be sold in the market at a specific point
in time
Unrealized P/L – profits or losses which have not yet been converted to cash because
the investor has not sold the stock
Buying Power – the available money an investor has in his account for buying stocks
Buy Order – a request made by an investor when he or she wants to buy stocks
Sell Order – a request made by an investor when he or she wants to sell stocks
Volume – number of shares bought and sold in a particular day
Bid – the prices at which the buyers want to buy a particular stock
Ask – the prices at which the sellers want to sell a particular stock
Bid-Ask Spread – the price difference between the bid and the ask
Trade – made when the bid and ask price have matched
Brokers – firms or individuals who are licensed to execute the buy and sell orders in
exchange for a commission fee
Portfolio – a group of financial assets such as stocks held by the investor
Average Cost/Price – the total price at which you bought a group of shares plus the
commission fees, divided by the total number of shares
Shares – units of capitalization that represent part-ownership of a company
Board Lot – the standardized minimum and multiple number of shares to be traded
for a particular stock, depends per price range
Cash Dividends – dividends given in the form of cash
Stock Dividends – dividends given in the form of additional shares
Profits/Gains – the amount that an investor earns when he sells stocks at a price higher
than his average costs
Losses – the amount that an investor loses in his capital when he sells stocks at price
lower than his average costs
Stock Split – when a company divides its shares according to a particular ratio,
increasing the number of shares and lowering the price of each share (i.e. 1 share
becomes 2 shares)
Reverse Stock Split – the opposite of stock split, when a company decides to combine
its shares in a particular ratio to decrease number of shares and increase price (i.e. 2
shares become 1 share)
Most Active – most active stocks in a particular day in terms of volume traded
Top Gainers – list of stocks which had the largest increase in price in a particular day
Worst Losers – list of stocks which had the largest decrease in price in a particular day
Year to Date (YTD) – the period from the beginning of the year (January 1) to present
Investment Strategy – set of rules and behaviors an investor practices towards his
investment portfolio
Peso Cost Averaging – an investment strategy where you put the same amount of
money into a particular stock in a regular schedule to get a lower average cost
Value Investing – an investment strategy where investors look for undervalued stocks
Growth Investing – an investment strategy where investors look for companies which
have a high growth potential
Margin – the equity value an investor has in his account/portfolio
Average Down – buying additional shares of a stock for a price that is lower than your
current average cost
Long Position – A “long” or “long position” is the buying of a security such as a stock,
commodity or currency with the expectation that the asset will rise in value.
Short Position – A “short”, “short position”, or “short selling” is a trading strategy
where the investor sells shares of borrowed stock in the open market. The expectation
 of the investor is that the price of the stock will decrease over time, at which point the
he will purchase the shares to replace those that he initially borrowed.

3. What are the companies listed in the Philippine Stock exchange under Ticker
symbols?