Assignments. I. Suggest the Russian equivalents

I. Suggest the Russian equivalents

the other side of the same coin; a ripple of movement; he can sell at a profit; they make a book in shares and bonds; buy to balance their books

II. Replace the parts in italics by synonyms

money will move to where it earns the best return; investor can tie up his money; who buys on his own account.

III. Fill in the gaps with the words and expressions/row the text

1. A market in money in London is not __: dealings take place __, and the price a borrower pays for __ is __.

2. __ is a market in government bonds and company shares.

3. If interest rates rise or fall there is likely to be __ through all the financial markets.

4. Money __ to where it earns the best return, __ with the risk the investor __ and the length of time for which he can __ his money.

5. The more money you __, the higher the return you __.

6. The longer you are prepared to __, the higher the return __.

7. The more risk you __, the higher __.

8. If the buyers and the sellers deal direct, each __ has to find a corresponding __.

9. A marketmaker buys __ in the hope that he will later be able to find a buyer to whom he can __.

10. Marketmakers are prepared to buy shares __ of finding somebody to sell to or sell shares __ of finding somebody from whom they can buy to __.

11. Marketmakers make their living on __ at which they buy and sell.

12. Marketmakers lend __ to a market.

IV. Find in the text English equivalents for the following

рынок товаров; рынок акций; лежать в основе; перемещаться; вло­жить деньги; наибольшая прибыль, соизмеримая (соразмерная) с риском;

посредник, известный как "создатель рынка"; потенциальный (2 вариан­та) покупатель и продавец; на свой страх и риск; в надежде (2 варианта)

V. Check your grammar

the + comparative... the + comparative

e.g. the sooner the better

Make sentences using this construction, like this:

much money to invest – a high return

The more money you have to invest, the higher the return you can expect.

1. to produce goods and services — to enjoy a high standard of living

2. a high standard of living – a lot of expenditure on luxury items

3. wide advertising — high sales

4. high prices for some goods – low sales

5. a great demand – high prices – much profit

6. injections into the economy — the size of the circular flow of income and the level of the activity in the economy increase

7. the severe inflation – the rise in the general price level – the fall in the purchasing power

Add some more sentences of your own on inflation, the money supply and the demand for money, the money market etc.

VI. Answer the questions

1. What are different types of investment and what are the corresponding markets? Dwell on each item.

2. What is a marketmaker? How does he make the market?

VII. Translate into English using all the active possible

1. Вкладывая деньги в различные банки и инвестируя их в различные фонды, инвестор всегда преследует цель получить наибольшую прибыль, соизмеримую с риском.

2. Фондовая биржа – это посредник между потенциальными покупа­телями и продавцами государственных облигаций, акций компаний и других ценных бумаг.

3. В основе любого рынка, в т.ч. рынка ценных бумаг, лежит принцип равновесия между теми, кто хочет продать, и теми, кто хочет купить акции.

PRIMARY AND SECONDARY MARKETS (ПЕРВИЧНЫЙ И ВТОРИЧНЫЙ РЫНКИ)

Fixed-interest securities and ordinary shares are the main stock-in-trade of the securities markets and the Stock Exchange is the main securities market in the UK (and the New York Stock Exchange is the largest in the USA). By buying one or the other, investors arc helping – directly or indirectly – to provide the finance that government or industry needs. Why "directly or indirectly"? Because the stockmarket is two markets in one: a primary market and a secondary market.

A primary market is one in which the government, companies or other bodies can sell new securities to investors to raise cash.

A secondary market is a market in which the investors can buy and sell these securities among each other. The buying and the selling in the secondary market does not directly affect the finances of government and companies. But if investors did not know they could buy and sell securities in the secondary market they might well be reluctant to put up cash for the government or companies by buying securities in the primary market when they were first issued. And the prices established by the buying and selling by investors in the secondary market help to determine the price that government and companies will have to pay next time they need to issue further securities for cash in the primary market. A reasonably liquid secondary market is normally considered vital for a healthy primary market.