Thinly traded

Thinly traded

Infrequently traded.

Thinly Traded Security

An inactive or infrequently traded bond or stock. Thinly traded securities are usually traded in small batches, approximately five shares at a time. Thinly traded securities are fairly illiquid and may be difficult to sell in a downturn. Their prices are also volatile because a small change in demand can greatly affect the price. Thinly traded securities are sometimes called cabinet securities because they are kept in cabinets on the trading floor until they are needed. See also: Cabinet crowd, Inactive post.

Thinly traded.

A particular stock, sector, or market is said to be thinly traded if transactions occur only infrequently, and there are a limited number of interested buyers and sellers.

Prices of thinly traded securities tend to be more volatile than those traded more actively because just a few trades can affect the market price substantially.

It can also be difficult to sell shares of thinly traded securities, especially in a downturn, if there is no ready buyer. Shares of small- and micro-cap companies are more likely to be thinly traded than those of mid- or large-cap stocks.

References in periodicals archive ?
Analysts say Pakistan's central bank effectively sets the currency rate as it is the biggest player in the thinly traded rupee market and controls what is widely understood to be a managed float system.
Earlier, the State Bank of Pakistan's (SBP) withdrawal of support for the rupee was widely seen as a devaluation measure since the central bank is the most influential player in the thinly traded local foreign exchange market and controls what is widely considered a managed float system.
The State Bank of Pakistan's withdrawal of its support for the rupee was seen as a devaluation measure as the central bank is the biggest player in the thinly traded local foreign exchange market and controls what is widely considered a managed float system.
7 million daily evaluations, including a broad range of hard-to-value, thinly traded securities, ICE Data Services is a market leader in evaluated pricing for fixed income and international equities.
Crude oil prices were up about 3 per cent on short-covering and buying support in a thinly traded market ahead of the New Year holiday.
According to FINRA, the broker-dealer did not sufficiently guide or train employees in the sale of billions of thinly traded microcap shares.
Summit's stock is thinly traded on the NASDAQ Over-the-Counter Bulletin Board under the ticker symbol SBKO.
Meanwhile a low interest rate environment has pushed managers towards more thinly traded assets, which "is likely to have exacerbated the risks".
Following the demerger, OCI NV will remain listed on Euronext Amsterdam, while Orascom Construction will be dually listed on the thinly traded Nasdaq Dubai while returning to the EGX, Cairo's main bourse.
Market was relatively thinly traded with action on locals picking up URC (+1.
50, having ended a thinly traded half-day session on Monday, New Year's Eve down 0.
Pramit Brahmbhatt, chief executive of Alpari Financial Services said," a fresh bout of volatility amidst thinly traded volumes reversed the day long gains in the rupee in the last half hour of the session.