thinly traded security

(redirected from Thinly-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 security

A security that trades with little volume. Institutional investors usually exclude these securities from their portfolios because of the large price changes that would occur if trades of any significant size took place.
Mentioned in ?
References in periodicals archive ?
China's economic slowdown, recessions in Latin American countries such as Brazil and Chile, and a breakdown in commodity prices - combined with a thinly-traded market as many investors become more focused on tide charts than trading terminals - are prompting traders to overlook improving U.
The con artists behind nutraceutical stock scams may by to lure in investors with optimistic and potentially false and misleading information that in turn creates unwarranted demand for shares of small, thinly-traded companies that often have little or no history of financial success.
According to the indictment, Marimuthu was part of a conspiracy operated out of Thailand and India from February 2006 through December 2006 in which the prices of thinly-traded securities were fraudulently inflated by hacking into brokerage accounts in the United States and then illegally using the accounts to make large unauthorized purchases of securities in the name of unsuspecting customers.
It is warning that people seeking to make money for themselves are putting misleading tips on to websites to create the illusion of widespread interest in a thinly-traded stock by leaving web messages using aliases.
The OTC Bulletin Board is more thinly-traded than Nasdaq, making it more difficult for investors to buy and sell shares of companies listed on it.
BDCs' principal business is to lend capital or provide services to privately-held companies or thinly-traded U.
28 /PRNewswire/ -- Financial DNA, LLC ("FDNA"), a research and advisory firm specializing in the Financial Services and Financial Technology industries, has launched a new Research Visibility service, which offers the following value proposition for thinly-traded or underfollowed Financial Services and Financial Technology enterprises:
Walker's Index of Thinly-Traded Stocks, or Witts, a 30-stock index of unlisted stocks compiled by the publishers of the Walker's manual, rose 133.
Morris stated, "Now EMEC is ready to carry out its mission statement as a BDC and help small American companies (under $100-million) source capital from and through EMEC which, as a BDC, is authorized to make investments in securities of both private and thinly-traded public US companies.
In addition, the Company's common stock has been extremely thinly-traded.
Alpert stated "The Flowserve offer is an insignificant premium over Invatec's current price in a thinly-traded market; thus, the $1.
Oak also notes that the consideration offered in the Onyx proposal is Onyx common stock, a highly-volatile and thinly-traded stock.