1.7 Passive Voice in Securities Law

Glossary of Key TermsPassive Voice: A grammatical construction where the subject of a sentence receives the action rather than performs it.Securities: Financial instruments that represent ownership (stocks) or debt (bonds) in a company or government entity.Dividends: A portion of a company's profits distributed to shareholders, often in cash or additional shares.Common Stock: A type of security representing basic ownership in a company and typically grants voting rights to the holder.Preferred Stock: A type of security representing ownership in a company that usually does not grant voting rights but pays fixed dividends.Stock Exchange: A marketplace where stocks and other securities are bought and sold, like the NYSE and Nasdaq.Voting Rights: The rights granted to shareholders, usually common stockholders, to participate in major company decisions such as electing the board of directors.Bonds: A type of security representing a debt instrument where an investor loans money to a company or government entity.Principal Amount: The initial amount of money borrowed or lent, particularly referring to the initial value of a bond.Maturity: The date on which the principal amount of a bond is repaid to the bondholder.Need Classes? Legal English innovation has several classes weekly, focusing on commercial law and other areas to help you communicate better with your clients.+57 320-315-4781 Follow us on Instagram!Friends on Facebook? Like us on Linked In?