Stock market terms starting with P

Promoter Pledge Corporate Actions, Dividends & Governance % Shares held by promoters that have been given as collateral against borrowing. Pledge % = Pledged Shares / Total Promoter Shares x 100, disclosed quarterly

Property, Plant and Equipment Financial Statements & Accounting ₹ crore Tangible long-lived assets used in operations, such as land, buildings, machinery and vehicles, shown net of accumulated depreciation. Net Block = Gross Block - Accumulated Depreciation

Prospect Theory Market Psychology & Behavioural Finance qualitative A model of decision-making under risk in which outcomes are valued as gains and losses from a reference point, with losses weighted more heavily. Value function: concave for gains, convex for losses, and steeper for losses than for gains by a factor of roughly two

Protective Put Derivatives, Futures & Options ₹ Buying a put against shares already owned, to place a floor under the holding's value. Maximum Loss = (Purchase Price - Strike + Premium) x Lot Size; Break-even = Purchase Price + Premium

Provision Financial Statements & Accounting ₹ crore A liability of uncertain timing or amount that is recognised in the accounts because an outflow is probable and estimable. Test: a present obligation exists, an outflow is probable, and a reliable estimate can be made; recognise the best estimate

Proxy Voting Corporate Actions, Dividends & Governance qualitative Authorising another person to attend a shareholders' meeting and vote on one's behalf. Test: a valid proxy form is lodged with the company at least 48 hours before the meeting

Pullback Technical Analysis & Chart Patterns qualitative A temporary move against the prevailing direction within an ongoing trend. Test: price retraces a portion of the prior move without violating the swing point that defines the trend

Pump and Dump Indian Market, Regulation & Taxation qualitative A manipulation in which operators inflate a security's price through false or misleading promotion, then sell into the demand they created. Test: coordinated promotion raises price and volume in a low-float security, followed by concentrated selling by the promoters of that message

Purchasing Managers' Index Economy, Macro & Market Cycles index points A survey-based index of business conditions, where readings above 50 indicate expansion and below 50 contraction. PMI = weighted diffusion index of survey responses on output, new orders, employment, supplier deliveries and stocks

Purchasing Power Economy, Macro & Market Cycles % The quantity of goods and services a unit of currency can buy. Purchasing Power Change = 1 / (1 + Inflation Rate) - 1, over the period considered

Put Option Derivatives, Futures & Options ₹ An option giving its buyer the right to sell the underlying at the strike price on or before expiry. Payoff at expiry for the buyer = max(Strike - Spot, 0) - Premium Paid

Put-Call Parity Derivatives, Futures & Options ₹ The relationship fixing the price of a European call and put with the same strike and expiry relative to the underlying. Call Price - Put Price = Spot Price - Present Value of Strike

Put-Call Ratio Indicators & Oscillators ratio (x, times) The ratio of put option activity to call option activity, measured by volume or by open interest. Put-Call Ratio = Put Volume / Call Volume, or Put Open Interest / Call Open Interest

Puttable Bond Bonds & Fixed Income qualitative A bond the holder may sell back to the issuer before maturity, at a stated price on stated dates. Test: the terms give the holder an option to require early redemption at a specified price and date

Terms starting with P