Annual General Meeting (AGM)

An annual meeting held to update shareholders on the performance of the Company and to discuss and vote on any key issues.


Banks Automated Clearing system (BACS)

BACS automatically processes dividends through the UK banking system.


Capital gains tax (CGT)

If you sell your shares and make a profit, you could be liable to CGT, subject to the threshold set by the Inland Revenue. Contact your financial advisor or tax office for more details.


The fee a bank or stockbroker charges for dealing shares on your behalf.


The price at which you buy or sell your shares. This is calculated by multiplying the number of shares by the share price.

Contract Note

Written confirmation sent to you after shares have been bought or sold. It gives details of the deal, including the type of share, the price, stamp duty (if any), total price paid and commission.


A settlement system that trades UK shares electronically without certificates.

Consolidated tax voucher

A statement of the tax credits that apply to a full tax year, issued to shareholders with dividend mandates on their holdings. You should keep this in a safe place as you may require it for your tax return.



The portion of a company's profit paid to shareholders, usually twice a year.

Dividend mandate

Instructions to send your dividend payments to your bank or building society account instead of your home address.

Dividend tax voucher

A statement of the tax credit that applies to a dividend. You should keep this in a safe place as you may require it for your tax return.



The method of communicating with shareholders who have elected to receive notifications of availability by email.


Shares are traded 'ex-dividend' when they are bought in the market too late to be registered on the record date. Ex-dividend shares do not qualify for the next payable dividend.

Extraordinary General Meeting (EGM)

Shareholder meetings held during the year to decide key items of business that cannot wait until the next AGM.


Final dividend

A dividend paid after the announcement of a company's full year results and approved by shareholders at the AGM.


Grant of representation

Legal document used to register the death of a shareholder.


Individual Savings Account (ISA)

A UK tax free savings vehicle, subject to Inland Revenue limits and restrictions. ISAs replaced PEPs and TESSAs in April 1999.

Interim dividend

A dividend paid part way through a company's financial year following approval by the Board of Directors.


Letter of indemnity

Form used to obtain duplicate share certificate after the originals have been reported lost, stolen or destroyed.

Listed company

A company with shares traded on the London Stock Exchange.

London Stock Exchange

The most commonly traded UK market.


Non-market transfer

A private arrangement to transfer shares without using a stockbroker.

Notification of availability

Written notification of the availability of company documentation on the company website, for those shareholders who have not elected to receive hard copy documents.


Online Voting

Registration of proxy votes online, through the website.



The person you nominate to vote on your behalf at shareholder meetings.

Proxy card/form

The consent form for appointing a proxy to vote on your behalf.


Record date

The date on which you must hold shares to qualify to receive the next dividend payable.



A SCRIP lets you use the cash dividend received on ordinary shares to buy more shares. The shares are issued especially for this purpose.


Term used to describe all types of stocks and shares.


Part ownership of a company, held either as a certificate, electronically or under a nominee holding.

Share certificate

The document providing share ownership details.

Stamp duty

A UK tax payable on some share transfers.

Stock transfer form

A form used to transfer certified shares (often when gifting shares or for transfers between partners).