Dictionary
- Mark-to-Market
- The valuation process which provides an indication of reasonable prices for positions on a daily basis or some other proscribed time frame. In accounting parlance, it would mean valuing securities/loans at their market values.
- Market Capitalization Rate
- The market-consensus estimate of the appropriate discount rate for a firm`s cash flow.
- Market Maker
- One who maintains firm bid and offer prices in a given security by standing ready to buy or sell round lots at publicly quoted prices.
- Market Maker Spread
- The difference between the price at which a market maker is willing to buy a security and the price at which the firm is willing to sell it.
- Market Model
- A model of stock returns that decomposes influences on returns into a systematic factor and unsystematic factor.