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Macro-Economics |
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The field of economics that
studies the behaviour of the economyas a whole.
Macroeconomics looks at economy-wide phenomena such
as changes in unemployment, national income, rate
of growth, and price levels. |
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Managed Accounts |
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Accounts of individual investors
which are managed individually by an investment
manager. The minimum size is usually in excess of
?3 million. |
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Managed Futures |
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An approach to fund management
that uses positions in government securities, futures
contracts, options on futures contracts and foreign
exchange in a portfolio. Some managers specialise
in physical commodity futures but most find they
must trade a variety of financial and non-financial
contracts if they have considerable assets under
management. |
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Management Fee |
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The fees taken by the manager on
the entire asset level of the investment. For example,
if at the end of the period the investment is valued at
?1 million and the management fee is 1.2%, then the fee
would be ?12,000. |
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Margin |
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The amount of assets that must
be deposited in a margin account in order to secure a
portion of a party’s obligations under a contract.
For example, to buy or sell an exchange traded futures
contract, a party must post a specified amount that is
determined by the exchange, referred to as initial margin.
In addition, a party will be required to post variation
margin if the futures contracts change in value.
Margin is also required in connection with the purchase
and sale of securities where the full purchase price is
not paid up front or the securities sold are not owned
by the seller. |
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Market Maker |
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An Exchange member firm that is
obliged to make a continuous two way price, that is to
offer to buy and sell securities in which it is registered
throughout the mandatory quote period. |
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Market Neutral Investing |
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Stock or bond that has been accepted
for trading by an organised and registered securities
exchange. Advantages of being listed are an orderly market
place, more liquidity, fair price determination, accurate
and continuous reporting on sales and quotations, information
on listed ompanies and strict regulations for the protection
of securities holders. |
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Market Risk |
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Risk from changes in market prices |
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