A Shares
Are a special type of Ordinary Shares. The dividends are the same, but the owners are unable to vote at company meetings.

Account linking
Do you have more than one account? You can link your GAM accounts and then access them from one username and login.

Accrued Interest
This is the interest due on a bond or other fixed income securities that must be paid by the buyer to the seller. This amount is worked out at the coupon rate of interest multiplied by the days from the previous payment date, up to but not including the settlement date.

One company takes over another by purchasing its assets and/or shares.

Advisory Service
We make recommendations based on the information provided in the financial questionnaire – your investment objectives, attitude to risk, time horizon and individual requirements but the final decision remains with you.

AGM (Annual General Meeting)
A meeting held by companies once a year where shareholders are invited to attend and vote on important issues. The purpose of the meeting is to approve dividends and the annual financial statements, and to appoint or remove directors and auditors. Decisions made at company meetings are carried out by the passing of resolutions.

Alternative Investment Market. The London Stock Exchange’s global market for smaller and growing companies.

American Depository Receipts(ADRs)
A negotiable certificate issued by a US bank representing a specific number of shares of a foreign stock which can be traded on a US stock exchange. ADRs make it easier for US investors to invest in foreign companies; they do not carry the high transaction and custody costs associated with buying the shares in their local market.

This is an accounting procedure that reduces the cost value of a limited life asset or intangible asset through periodic charges to income. The purpose of this is to reflect the resale or redemption value of the asset.

Articles of Association
When companies are set up, part of the process is to register a Memorandum and Articles of Association with the Registrar of Companies. The Articles of Association set out the company’s internal procedures. For example, what happens at meetings, voting rights, powers of Directors etc. Any changes to them have to be agreed by shareholder votes.

Asset allocation
The spread of investments across different asset classes. Establishing a diversified allocation of asset classes can reduce the volatility of your portfolio whilst increasing the performance.

Asset classes
Investments such as shares, special situations, commodities and fixed interest.

Authorised Share Capital
The maximum number of shares a company is allowed to issue. This amount is stated in the company’s Memorandum of Association, and can only be changed with shareholders consent.