MAROCLEAR Glossary: Key Terms in Finance and Securities Management

Account which traces transactions awaiting matching or adjustment requiring the deferral of definitive imputation, either because they must give rise to formalities or verifications, or because their nature technically requires delays.

Accounting kept value by value according to the principle of double entry accounting. This accounting by value is subject to subdivision according to the legal form of the securities taken into account. Maroclear's securities accounting makes a distinction between securities belonging to the account holder and those belonging to its customers. It may also allow a subdivision within each of these two categories of holders.

The share capital is composed of all contributions (in cash, industry and nature) made by shareholders at the time of the creation or increase of a company’s capital. On the balance sheet, it is the product of the number of shares by their nominal value.

The Central Depositary shall record in its accounts all the securities comprising each issue of securities admitted to its operations. The counterparty of each securities issue admitted to its operations is shown in its accounts on current accounts opened with its affiliates for the value in question. The credit balance of these current accounts must, at any time, correspond to the total of the securities recorded in account with the account holders on behalf of the holders.

Securities that are the subject of current accounts opened with Maroclear.

Financial security which can be either a title or debt, confers standardized rights and is tradable on the stock exchange. Are considered to be transferable securities: marketable debt instruments (TCN), units of a mutual fund, units of a securitisation collective investment fund (FPCT) and shares and units of venture capital institutions.

A share split is an operation that increases the number of shares outstanding on stock markets in order to lower the share price.

Refers to the movement of securities during a financial transaction.

Sector concerning stock exchange negotiations, the settlement of which takes place on D+3, following an integrated and automated process of adjustment(s) between stock exchange companies and depositaries giving orders. The negotiations in the stock exchange sector give rise to two types of complementary flows: contracts and notices of operation.

Average of the prices of a sample of securities representative of a market, sector... This average reflects the general trend of market developments. Each country has its own national indices. The Moroccan stock market indices are MASI and MADEX.