Circle

(redirected from defensive circle)
Also found in: Dictionary, Thesaurus, Medical, Encyclopedia.

Circle

Underwriters, actual or potential, often seek out and "circle" investor interest in a new issue before final pricing. The customer circled has basically made a commitment to purchase the issue if it is available at an agreed-upon price. If the actual price is other than that stipulated, the customer supposedly has first offer at the actual price.

Circle

Informal; to attempt to find investors for underwriting purposes. Before a new issue, underwriters circle potential investors, who may or may not book an order to buy a portion. Potential investors are provided with a preliminary prospectus if they are circled and indicate interest. It is important to note that circling is non-binding because it is illegal to sell a security that has not been issued. See also: Overbooked, Underbooked, Fully Subscribed, Indication of Interest.

circle

A process used in finding interested buyers of a new security issue before determining the final price. A potential customer will be given a preliminary price (for example, the interest rate for a bond or the selling price for a stock) and will commit to a purchase if the issue is actually priced at the preliminary estimate. A different price permits the customer to back out or to get the first chance to buy the issue at the new price. Compare indication of interest.
References in periodicals archive ?
Knights then starred in the last quarter for Wasps, stealing the ball in the defensive circle and capitalising on loose passes from Sirens to disrupt their attacking play.
A solid partnership of Tracey Evans and Leanne Quartley in the defensive circle managed to pick off weaker passes from the Stockton attackers and Dani Walker's speed though midcourt enabled these balls to be worked up court, making them count.
"A" flight tackled about 20 Me-110s which immediately went into a "defensive circle".
About 20 ME110s went immediately into a defensive circle. It was colossal fun.