The issuer is a company that sells securities to the public, can be in the form of shares or corporate bonds. The sale of the Securities is first conducted by an IPO (Initial Public Offering). Only after the company runs in accordance with the objectives and has a high enough volume and liquidity can be registered with the Stock Exchange.

So, from this, we can conclude that for every company that is closed and does not sell its securities to the public cannot be said to be an Issuer.

Types of Issuers According to Their Growth Rate:

  • Stalwart: Stalwart can be understood as a well-known issuer has a large Market Valuation, and is one of the strongest issuers in its field.
    The issuer is known for its very strong stability so that the company can be considered Advanced. However, usually, the movement of share value growth is not as fast as the others because Stalwart is more focused on security and dividends for shareholders.
    This type of issuer is the most appropriate choice for market participants who are still Newbie because it has a Low Risk.
  • Fast Grower: Fast Grower Issuer is a company that is "still developing" and is heading to the Stalwart category. Usually, these issuers become highly developed, with rapid company growth, frequent expansion, and acquisition, then routinely share profits with their shareholders.
  • Slow Grower: This type of issuer is arguably the type of issuer "failed", where the company failed to maintain its existence in the stock market or lose competition in its field. Call it APLN which has experienced a Return On Equity decline, which is caused by the lack of innovation, the level of sales is down.
  • Cylical: This Issuer is a company that has value dictated by global commodity prices such as Coal and Petroleum. The growth value of the issuer is highly dependent on the sentiment of the community and other exchange rates.
  • Asset Play: Issuer of this type is an issuer that "can be played". That is, the value of a stock does not depend on the performance of the company alone, but is also influenced en masse by Company Assets. Generally, this type of issuer is a game for investors.
  • Turn over: This type of issuer is an issuer that was previously in a bad status but was later acquired by another company so that the value of the issuer's shares can be recovered.
Author's Bio: 

I'm Mansi Dandekar, I am sharing an article about The Purpose of Investment. Here is more information on the Commodity Trading Tips