Ex.1. Match the terms with their definitions. a) fin. & stk. exch. the act, or work, of starting a business, especially a company; issue of new shares

1. leverage 2. analyst

3. forecast 4. primary market

5. broker 6. dealer

7. IPO 8. investment bank

9. public company* 10. forecaster

a) fin. & stk. exch. the act, or work, of starting a business, especially a company; issue of new shares, esp. to the public

b) 1. an account of what may be expected to happen in the future, usu.by looking at the conditions that lie ahead

2. econ. any methodical attempt to tell the nature, extent and direction of future changes in the economic system, such as a change in the size of the population. Such f., called projections, are essential aids when deciding a governmental policy

c) that part of the money market in which instruments are sold by the issuer direct to the investor

d) ind. a professional person skilled in the working of analyzing

fin. experts, specializing in the valuation of different markets, industries, companies, securities and currencies, working out how much things are worth now

e) 1. com. a person who, at his own risk, buys commodities to sell at a profit, usu. to consumers; syn. trader

2. bkg. a person or organization buying and selling bills of exchange, called a discount house

3. one who buys and sells foreign currency, called a foreign-exchange dealer

4. stk.exch. a person buying and selling securities on the stock Exchange

5. commod.exch. a trader in an organized commodity exchange, esp. a merchant or wholesaler

f) generally, a particular class of agent who is employed by his principal to buy or sell the principal’s goods or services, usu. in return for a commission or brokerage calculated as a percentage of the value of business done. At no time does the true broker become the owner of the goods, and he cannot act in his own name but only in the name of his principal

g) bkg. and stk.exch. in the USA, a financial organization that, alone or with a group of others called a syndicate, buys from a corporation (company) an entire new issue of bonds or stock and sells in smaller units to the public, thus taking over the risk and responsibility for the financial success of the new issue. In this sense, they are often called underwriters. They sometimes also arrange mergers and reorganizations of companies and act as advisers on the raising of capital and on financial matters generally.

In Britain merchant banks perform the same services

h) a limited company which can offer its shares and debentures to the public; there is normally no limit to the right of its members to transfer their shares to other persons. There is no limit to the number of its members except there must be at least seven. Abbr: P.l.c.; plc; PLC. In Britain such a company must include the words “public limited company” or the abbreviation as part of its name

i) 1. fin. the use of borrowed money rather than share capital to produce profits, e.g. paying for an investment in shares by means of a loan for which securities have been put up as collateral. An investment is said to have a high l. if a large proportion of the company’s assets has been bought with borrowed money, i.e. when the company’s debt is high compared with the size of its share capital. Such a company is at a disadvantage because the interest it has to pay on its borrowings reduces its earnings per share, syn. gearing

2. man. a position of advantage over one’s competitors, called operational or operating l., esp. where a company is stronger than its competitors in one or more main activities such as finance, production, processes, marketing ability, and distribution arrangements. The term l. is also used in the currency futures markets to express the relation between the premium and the many-times greater amount of money the premium controls.

j) experts, specializing in the valuation of different markets, industries, companies, securities and currencies, studying the prospects for the future.