JAMB Commerce 2008 Question 19

Question 19

Stock Exchange

A person who buys new issues with a view of re-selling at a higher price in the near future is referred to as a

  1. A.bull
  2. B.bear
  3. C.dealer
  4. D.stag.
Show the answer and explanation

Answer: D (stag.)

Explanation

A stag applies for newly issued shares hoping to sell them at a profit as soon as dealing begins.