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Stock Market Glossary - Letter S

45 terms beginning with "S"

Explore more than 400 curated terms for investors, traders and long-term savers. Detailed definitions, practical context and no marketing jargon — from your first ETF savings plan to option strategies.

Updated: August 17, 2026

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Stock Market Glossary

S Terms beginning with S

S&P 500

Broad US equity index of 500 large publicly listed companies.

Saver’s flat rate

Tax allowance for capital gains.

Savings plan

Regular automated investment of fixed amounts.

Sector rotation

Shifting capital between industries depending on the phase of the economy.

Securities identification number (WKN)

Six-digit code for unique identification of a security in the DACH region.

Securities lending

Temporary lending of securities in return for a fee and collateral.

Securities prospectus

Legally required information document for certain security offers or admissions.

Settlement risk

Risk that a securities transaction is not completed as agreed.

SFDR

EU regulation on the disclosure of sustainability-related information in the financial services sector.

Share

Share certificate in a company that certifies ownership rights.

Share buyback

Purchase of own shares by the company with subsequent withdrawal or retention.

Sharpe ratio

Ratio of excess return to volatility.

Short position

Position that relies on falling prices.

Short selling

Selling borrowed securities in order to buy them back later at a cheaper price.

Short squeeze

Strong price increase due to forced covering of short sellers.

Slate market

Market phase without clear direction with sideways movement.

Slippage

Difference between the planned and actually realized execution price.

Smart Beta

Rules-based index strategies that specifically collect factor premiums.

Smoothing

Closing an open position through countertrade.

Sortino ratio

Variant of the Sharpe ratio that only takes into account downside volatility.

SPAC

Stock market shell without operational business, which prepares a later acquisition.

spread

Difference between bid and ask – direct trading costs.

Spread (bonds)

Yield premium of a bond compared to a comparable bond.

Squeeze out

Forced compensation of minority shareholders by a major shareholder.

Stablecoin

Cryptocurrency pegged to a stable benchmark such as the US dollar.

Stagflation

Combination of a stagnating economy and high inflation at the same time.

Stock exchange

Organised market where securities and other tradable goods are traded under defined rules.

Stock index

Calculated key figure that shows the performance of a group of stocks.

Stock picking

Selection of individual stocks instead of index representation.

Stock split

Dividing existing shares into several new shares while maintaining the same market capitalization.

Stop buy

Buy order that is only activated above a certain price.

Stop Hunting

Market movement that triggers clustered stop orders at obvious price points.

Stop limit

Stop order, which enters the market as a limit order when triggered.

Stop loss

Predefined loss threshold above which a position is automatically closed.

Straddle

Option strategy consisting of call and put with the same strike and the same term.

Strangle

Option strategy consisting of call and put with different strikes.

Strike price

Agreed price at which an option is exercised or a derivative is settled.

Subscription period

Period in which subscription rights can be exercised or sold in a corporate action.

Subscription right

Right of existing shareholders to acquire new shares proportionally in the event of a capital increase.

Substantial value

Stocks in established companies with solid balance sheets and stable cash flows.

Support

Price level at which buyer pressure regularly stops price declines.

Swap

Agreement to exchange future cash flows between two parties.

Swap ETF

ETF that obtains an index return wholly or partly through a swap with a counterparty.

Swing trading

Trading style with holding periods from days to a few weeks.

Synthetic

Replication method for ETFs via swap transactions instead of physical purchase of the index values.