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Financial terms in "Personnel Management"

1. Induction

2. risk manager

3. Plan participant

4. Industrial Tribunal

5. Portfolio Career

6. Middle Management

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8. competence

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25. Employment Equity

26. benefit

27. salary review

28. CARDs

29. management trainee

30. Notice Period

31. bought ledger clerk

32. restraint of trade

33. Federal Insurance Contributions Act

34. stock incentive plan

35. Perquisites

36. Cafeteria Plan

37. Cooling-Off Period

38. supplementary benefit

39. Psychological Contract

40. CV

41. discrimination

42. management training

43. Arbitration

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46. moonlighting

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48. Human capital

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51. Pink Slip

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66. Self-Employed

67. layoff

68. incremental scale

69. vesting

70. FICA

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72. compensation package

73. secondment

74. ergonomics

75. flexible benefit plan

76. labor

77. seasonal unemployment

78. benefit in kind

79. Conciliation

80. cost-of-living increase

Featured term of the day

Definition / Meaning of

Stop Order

Categories: Investing and Trading, Brokerages,

You can issue a stop order, which instructs your broker to buy or sell a security once it trades at a certain price, called the stop price. Stop orders are entered below the current price if you are selling and above the current price if you are buying. Once the stop price is reached, your order becomes a market order and is executed.For example, if you owned a stock currently trading at $35 a share that you feared might drop in price, you could issue a stop order to sell if the price dropped to $30 a share to protect yourself against a larger loss. The risk is that if the price drops very quickly, and other orders have been placed before yours, the stock could actually end up selling for less than $30. You can give a stop order as a day order or as a good 'til canceled (GTC) order. You might use a buy stop order if you have sold stock short anticipating a downward movement of market price of the security. If, instead, the price rises to the stop price, the order will be executed, limiting your loss. However, there is a risk with this type of order if the market price of the stock rises very rapidly. Other orders entered ahead of yours will be executed first, and you might buy at a price considerably higher than the stop limit, increasing your loss.

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