Train Miles

A railroad term; the number of miles traversed by a particular train; or, the number of miles collectively traversed by all trains of a railroad. The result attained by adding together the number of miles traversed by all trains on a railroad and dividing by the number of trains shows the average number of miles traversed by each train. Train mileage means the same as train miles.

Transfer

The act of placing a certificate of stock or a registered bond in the name of a new owner. The new owner of a stock which is in receipt of dividends or of a registered bond upon which interest is paid, should have it transferred into his name before the closing of the books for a dividend or for interest for the check for the dividend, or interest will be sent to the person in whose name the stock or bond stands.

Trustee Stock

A stock of the highest class in which trustees arc authorized by law to invest.

Two Dollar Broker

A member of the New York Stock Exchange who executes orders for other members for $2 per hundred shares, and whose participation in transactions ends with the simple act of buying or selling.

Unassented Stock Or Bonds

Stock or bonds which the owners refuse to deposit under an agreement by which their status will be changed. For additional information see Readjustment.

Underlying Mortgage

A mortgage anterior and prior in claim to another mortgage, as, for instance, when speaking of a second mortgage the first mortgage is the underlying mortgage.

Underwriter

One who insures; a member of an underwriting syndicate. For additional information see Syndicate.

Unified Bonds

Another name for consolidated bonds or consols; an issue of bonds created to unify or consolidate or refund (take up and replace) two or more previous issues.

Unlisted Stocks

This is the common designation for stocks which, in official terms, have been "admitted to quotation" in the "unlisted department" of the New York Stock Exchange. Admitted to quotation means admitted to dealings.

Value Bill (Of Exchange)

A draft (bill of exchange) drawn against a consignment of property. For instance, if A in New York ships goods to B in London and draws on B for the value of the goods, attaching the bill of lading, insurance policy, etc., to the draft (bill of exchange), the bill is a value bill.

Again, if a banker in New York sells securities to a banker in London and draws on the bank in London for the value of the securities, attaching the securities to the draft (bill of exchange), the bill is a value bill.

Voting Trust

This is created by placing the stock of a company, either all or a majority, in a trust, usually for a specified period, for voting purposes. Thus, the control of the company is locked up in the hands of trustees. Receipts for the stock are issued, and these may be dealt in and receive dividends the same as the stock itself, but they have no voting power.

Voting Trust Certificate

When the stock of a company is lodged in a voting trust so that the voting power of the stock is confined to the trustees of the voting trust (commonly designated voting trustees), certificates or receipts for it, called voting trust certificates, are issued in place of and represent ownership of the stock. The certificates are dealt in and transferred the same as the stock, and when the voting trust terminates or is dissolved the certificates are exchanged for the stock itself.

If dividends are declared on the stock while the voting trust is in force, they are paid to the holders of the voting trust certificates. The certificates, in brief, are in all respects the equivalent of the stock, with the exception that they do not possess voting power.

Washing

A Wall Street colloquialism used to describe the operation of simultaneously buying and selling the same stock for the purpose of making quotations, and generally for the purpose of inducing speculation in the stock by imparting apparent activity to it. The transaction is fictitious and so is the price.

Watered Stock

A colloquialism used when the capital stock of a company is increased in amount without a corresponding increase in assets. When a stock is declared the original stock is watered to that extent, unless the new stock represents added property or value in some form.

When Issued

A term employed when dealing in a stock not yet issued. When a stock is sold "w. i." it is deliverable when, as and if issued. This is a stock future corresponding to a grain, cotton or coffee future, except that it is indefinite as to time.

X-D

Ex-dividend, that is, without the dividend. If a stock upon which a dividend has been declared is sold and the sale is not to include the amount of the dividend, the stock is sold ex-dividend.

X-I

Ex-interest; that is, without interest, or in other words, interest not included.