Meaning MARKET MODEL: The market model says that the return on a security depends on the return on the market portfolio and the extent of the security's responsiveness as measured by beta. The return also depends on conditions that are unique to the firm. The market model can be graphed as a line fitted to a plot of asset returns against returns on the market portfolio. This relationship is sometimes called the single-index model
More terms such as Market model in Dictionary M.
- Definition Money Supply:
- Examples demand deposits.M1-B: M1-A plus other checkable deposits.M2: M1-B plus overnight repos, money market funds, savings, and small (less than $100M) time deposits.M3: M-2 plus large time deposits and market model definition.
- Definition Market Capitalization Rate:
- Examples Expected return on a security. The market-consensus estimate of the appropriate discount rate for a firm's cash flow market model explain.
- Definition Market Eye:
- Examples A financial information service based in the U.K. sponsored by the ISE (International Stock Exchange of the U.K. and the Republic of Ireland) that provides current market and statistical information market model what is.
- Definition Merchant Bank:
- Examples a bank that specializes not in lending its own funds, but in providing various financial services such as accepting bills arising out of trade, underwriting new issues, and providing advice on market model meaning.
- Definition Mortgage-Backed Securities Clearing Corporation (MBSCC):
- Examples A wholly owned subsidiary of the Midwest Stock Exchange that operates a clearing service for the comparison, netting, and margining of agency-guaranteed MBS transacted for forward delivery market model abbreviation.
