Words / T / Business

tracking stock

noun/ˈtrækɪŋ stɒk/

C2CEFR level
90/100Rarity: very rare
TechnicalRegister

A class of shares issued by a parent company that reflects the financial performance of one specific division rather than the whole firm.

The board issued a tracking stock for the cloud division to let investors value it separately from the legacy business.

Topic: Corporate strategy in Business English

Rarity runs from 0 (a word everyone knows) to 100 (almost never seen outside specialist or literary writing). Level is the word's real difficulty on the CEFR scale, from A1 to C2.

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More business words: Corporate strategy