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TeachMeFinance.com - explain Right historic definition... Right -- As a financial term the word means the right or privilege to subscribe for a stock or bond. When a company proposes to increase its capital stock it is the custom for it to give its stockholders the right, in preference to the general public, to subscribe for the new stock in amounts proportionate to their holdings of the old stock. An allotment or accepted subscription in an underwriting is a right. About the author Mark McCracken Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English". Copyright © 2007 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional financial or legal advice. TeachMeFinance.com and its owner recommend consultation with a professional financial advisor prior to any investment or financial decision. Please read our disclaimer.