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Cash market |
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Cash marketAn expression used to describe the market in the underlying instrument (for example, shares, indices, commodities, etc.) on which a futures or options contract is based. Also known as spot or physical market.In a cash market the commodity or financial instrument is actually transferred from seller to buyer.Similar MatchesStockholm Stock MarketStockholm Stock MarketThe major securities market of Sweden. Alternative Investment MarketAlternative Investment MarketA market for small, young and growing companies operated by the London Stock Exchange as a regulated market of a Recognised Investment Exchange and set up in June 1995. It replaced the Unlisted Securities Market (USM). The market provides an opportunity for companies to raise capital for expansion, a trading facility and a way of establishing a market value for their shares.There are about 400 companies listed on AIM. The market cap of the index varies quite widely. AIM companies tend to trade on wider spreads than companies on the main market, and liquidity can be a problem.One of the advantages of investing in AIM companies is that for tax purposes they are treated as 'unquoted investments' (even though they are quoted). The significance of this is that for every year that you hold AIM shares, you get 5% 'taper relief' on any gains you subsequently make. So if you are a higher rate taxpayer who would normally pay 40% CGT, and you hold shares for one year then sell them, you only pay 35% CGT. If you hold shares for four years or more, the tax rate falls to 10%. Note that this only applies to shares bought after 6th April 2000. Corner a marketCorner a marketTo purchase enough of the available supply of a commodity or stock in order to manipulate its price. Nonmarketable securityNonmarketable securitySecurities that cannot be easily bought and sold. Security market planeSecurity market planeA plane that shows the relationship between expected return and the beta coefficient of more than one factor. Further SuggestionsBroad MarketSecondary Mortgage Market third market Spot market Thin market Tax exempt money market fund Integrated financial market Sensitive market Market clearing Market based corporate governance system Security Market Line Forward market Primary market Student Loan Marketing Association (SLMA) Bull market narrow market Black market Eurocurrency market Operationally efficient market Registered competitive market maker Forward market Secondary mortgage market Foreign exchange market At the market efficient market theory |
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