Financial glossary

The stock-market vocabulary, jargon-free

Every term you'll meet reading an AMMC notice, a prospectus, or an annual report — explained simply.

81 term

A

  • Allocation (asset allocation)

    How you split your capital across asset classes (stocks, bonds, real estate, cash) to manage overall portfolio risk.

  • AMMC (Moroccan Capital Market Authority)

    Morocco's financial-markets regulator. Issues licences, approves prospectuses, polices listed-company transparency.

  • Appel public à l'épargne (Public offering)

    Operation in which a company solicits the public to buy its securities (e.g. an IPO or a rights issue).

  • General Meeting (Ordinary / Extraordinary)

    Annual or exceptional meeting of shareholders. The Ordinary General Meeting (AGO) approves the accounts; the Extraordinary General Meeting (AGE) is convened for major decisions like capital increases or mergers.

  • Bonus shares (attribution gratuite)

    Corporate action in which the company hands extra shares to existing shareholders for free. See our corporate actions guide.

  • Capital increase

    The company issues new shares to raise additional funds. Existing shareholders receive Preferential Subscription Rights (PSRs).

  • Risk aversion

    An investor's preference for safety over yield. Highly risk-averse profiles favour bonds and money-market funds over stocks.

  • Trade confirmation (avis d'opéré)

    Document your custodian sends after every trade: confirms execution, price, quantity and fees.

B

  • Bank Al-Maghrib (BAM)

    Morocco's central bank. Manages monetary policy, sets the policy rate, issues currency.

  • Earnings per share (EPS)

    Net profit ÷ number of shares outstanding. Core profitability indicator on a per-share basis.

  • Casablanca Stock Exchange

    Morocco's regulated exchange where stocks, bonds and other securities are traded. Overseen by the AMMC.

  • Budget

    Plan of income and expenses, usually monthly or annual. Master your budget before you start investing.

C

  • Market capitalisation

    Total market value of a company: `share price × shares outstanding`. Used to classify companies as large, mid or small cap.

  • Investment certificate

    Share with no voting rights but with dividend rights. Issued in some capital increases.

  • Certificate of deposit

    Short-term debt instrument issued by a bank, evidencing a fixed-term deposit at a known interest rate.

  • ISIN code

    A unique 12-character identifier for a security at international level (e.g. `MA0000011843` for Attijariwafa Bank).

  • Order matching (compensation)

    Mechanism that nets buy and sell orders on the same security to simplify settlement.

  • Securities account

    Account at a brokerage or bank where your securities are held.

  • Coupon

    Periodic interest paid to a bond holder. The bond equivalent of a stock dividend.

  • Reference price

    Official close price of a security, used as the base for the next session.

D

  • Ex-date (detachment date)

    The day a stock starts trading without the right attached to a corporate action (dividend, PSR, etc.). You must own the share BEFORE this date to benefit.

  • Insider trading

    Use of non-public price-sensitive information to buy or sell securities. Heavily sanctioned by the AMMC.

  • False-information offence

    Spreading false news to influence a stock price. Criminal and financial penalties.

  • Market manipulation

    Coordinated buying or selling to artificially distort a stock's price. Prohibited.

  • Settlement

    Final stage of a trade where the buyer receives the securities and the seller receives the cash. Standard delay in Morocco is T+3.

  • Central depositary (Maroclear)

    Organisation that holds securities and clears trades. In Morocco that role is held by Maroclear.

  • Diversification

    Spreading your capital across multiple securities, sectors and asset classes to reduce overall risk.

  • Dividend

    Share of profits paid by a company to its shareholders. Subject to a 12.5% withholding tax in Morocco (2025 rate).

  • Order originator

    Person who sends a buy or sell order to their broker (i.e. you, the investor).

  • Preferential Subscription Right (PSR / DPS)

    Right granted to existing shareholders during a capital increase, letting them buy new shares — often at a discount. Tradeable on the exchange.

E

  • Issuer

    Company or public entity that issues financial securities (stocks, bonds) on the market.

  • Savings

    Money set aside that isn't immediately spent. The prerequisite to investing.

F

  • FCP (Fonds Commun de Placement)

    Moroccan mutual-fund form where you're a unit-holder (no voting rights). Over 90% of Moroccan funds are FCPs. See our OPCVM guide.

  • Key facts (fiche signalétique)

    One-page summary of an OPCVM with strategy, fees, risk and performance. Read before any subscription.

  • Management fee

    Ongoing fee charged by the OPCVM management company, capped at 2% (excl. VAT) per year in Morocco.

  • Redemption fee

    Optional fee charged when you exit an OPCVM. Often zero.

  • Subscription fee

    Optional fee charged when you enter an OPCVM. Often negotiable or zero.

H

  • Investment horizon

    How long you plan to keep money invested. The longer the horizon, the more risk you can tolerate.

I

  • Quarterly indicator

    Document released quarterly by listed companies covering the period's main financials.

  • Privileged information

    Non-public information likely to move a stock's price. Trading on it is insider dealing.

  • Financial intermediary

    AMMC-licensed firm that executes orders for investors (brokerage, bank…).

  • IPO (Initial Public Offering)

    A company's first listing on the stock exchange. See our complete guide.

L

  • Liquidity

    A security's ability to be bought or sold quickly without significantly moving its price. Good liquidity = high daily traded volume.

  • Liquidation

    Sale of all securities in a portfolio to convert to cash, or closing of an open position.

M

  • MASI (Moroccan All Shares Index)

    Index aggregating all stocks listed on the Casablanca Stock Exchange. The reference benchmark for Morocco.

  • MASI 20

    Sub-index of the 20 largest market caps on the Moroccan exchange.

  • MASI ESG

    Index selecting Moroccan listed companies with the best environmental, social and governance scores.

  • Bond market

    Market for medium- and long-term debt securities (T-bills, corporate bonds, BSF).

  • Primary market

    Market where new securities are issued for the first time. See our market guide.

  • Secondary market

    Market where already-issued securities trade between investors. What you use every day to buy and sell on the exchange.

  • Valuation multiple (P/E, EV/EBITDA…)

    Ratio used to compare a company's value to a financial aggregate. P/E = share price ÷ EPS, for example.

O

  • Bond

    Debt security issued by a company or state. Pays a periodic coupon (interest) and the principal at maturity.

  • Tender offer (OPA)

    Public offer to buy out shareholders of a listed company in cash. See our corporate actions guide.

  • Exchange offer (OPE)

    Public offer to buy out shareholders by exchanging their shares for shares of the buyer.

  • Mandatory tender offer (OPR)

    Procedure by which a majority shareholder buys out minorities to delist the security.

  • OPCVM (Moroccan mutual fund)

    Collective investment fund. Two legal forms: SICAV or FCP. See our complete guide.

  • Limit order

    Order where you set the maximum buy price (or minimum sell price). Fills only if the market reaches that price.

  • Market order

    Order executed immediately at the best available price.

  • Stop order

    Conditional order that becomes a market order once a trigger price is reached. Often used as a protective stop-loss.

  • Corporate action (OST)

    Any event in a security's life after issuance: dividend, split, bonus, capital increase. See our corporate actions guide.

P

  • P/E (Price-to-Earnings ratio)

    Valuation multiple = share price ÷ earnings per share. Tells you how many years of earnings would pay back the buy price.

  • Capital gain

    Positive difference between sale and purchase price of a security. Subject to 15% tax on listed shares in Morocco (2025 rate).

  • Portfolio

    The set of securities and cash held by an investor.

  • Risk profile

    The level of risk an investor is willing to accept. Three broad buckets: prudent, balanced, dynamic.

  • Prospectus

    Reference document approved by the AMMC, published for an IPO or bond issue. See our AMMC documents guide.

R

  • Buyback

    Programme by which a company buys its own shares on the market — usually to cancel them or assign to employees.

  • Annual report

    Document published yearly by a listed company covering accounts, strategy, governance.

  • Yield / return

    Total expected gain on an investment, expressed as a percentage. Combines capital gains and income (dividends, coupons).

  • Risk

    Probability of losing some or all of your capital. Higher potential return generally implies higher risk.

S

  • SICAV (Société d'Investissement à Capital Variable)

    Moroccan mutual-fund form where you're a shareholder with voting rights. Less common than FCP in Morocco.

  • Brokerage (société de bourse)

    AMMC-licensed firm that executes stock-market orders for its clients.

  • Spread

    Gap between the best bid and the best ask on the order book. A tight spread signals good liquidity.

  • Stock split

    Corporate action where a company divides each share's par value and multiplies the share count, without changing total value.

  • Subscription

    Buying securities at issuance (IPO, capital increase, mutual fund).

T

  • Interest rate

    Cost of borrowed money, expressed in percent. In Morocco, partly anchored by Bank Al-Maghrib's policy rate.

  • TCN (Negotiable Debt Securities)

    Short-term financing instruments issued by companies (T-bills, certificates of deposit, BSF).

  • Custodian (teneur de compte)

    Firm that holds your securities and records every operation on your securities account.

  • Security (title)

    Document representing equity ownership (share) or debt (bond).

V

  • Volatility

    Measure of price variation of a security over time. High volatility means large up and down swings.

  • Volume

    Quantity of a security traded over a given period. Indicator of activity and liquidity.