Graduated Security


DEFINITION of 'Graduated Security'

An equity security that has moved its listing from one stock exchange to another, often more prestigious, exchange. By moving to a new exchange, the firm hopes to increase trading activity in its stock and gain some extra publicity.

BREAKING DOWN 'Graduated Security'

When a firm lists under a new exchange a few changes occur. For example, the ticker symbol will usually change when the firm begins trading on the new market. Current shares will also be transferred to the new exchange and bear the new symbol. A common security graduation involves a transfer from the American Stock Exchange to either the Nasdaq or New York Stock Exchange.

  1. Nasdaq

    A global electronic marketplace for buying and selling securities, ...
  2. Exchange

    A marketplace in which securities, commodities, derivatives and ...
  3. Listed

    Being included and traded on a given exchange. Most exchanges ...
  4. American Stock Exchange - AMEX

    The third-largest stock exchange by trading volume in the United ...
  5. New York Stock Exchange - NYSE

    A stock exchange based in New York City, which is considered ...
  6. Capital Markets

    Capital markets are markets for buying and selling equity and ...
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