Glossary

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Main Market
The London Stock Exchange's principal market for listed companies from the UK and overseas. The securities need to be admitted to the Official List by the UK Listing Authority (UKLA), a division of the Financial Services Authority if they are to trade on the main market.
Management charge
The charge levied by an external investment manager for the management of a trust or fund. It is usually charged annually, and may consist of a fixed fee and/or a performance related fee.
Manager
See fund manager.
Manager's report
See Annual report and Half-yearly report.
Market capitalisation
The stock market value of a company. This is determined by multiplying the number of shares in issue by the price of the shares.
Market makers
Traders who create a market in a specific stock by quoting prices at which they will buy or sell on demand.
Market price
There are two prices quoted by stockbrokers: the higher or 'offer' price at which they will sell you shares (i.e. the investor's purchase price) and the lower or 'bid' price at which they will buy your shares (i.e. the investor's selling price). The difference between the two is known as the dealing or 'bid-offer spread'. See dealing spread.
Market risk
Investing in the stock market means that you can benefit from its growth potential. However, there is also a risk (market risk) that you could lose your money should the stock market in which you have invested fall in value.
Main Market
The London Stock Exchange's principal market for listed companies from the UK and overseas. The securities need to be admitted to the Official List by the UK Listing Authority (UKLA), a division of the Financial Services Authority if they are to trade on the main market.
Mid-market price
A price calculated as the mid point between the bid and offer prices. The mid-market price is used to calculate the discount, yield and share price performance data on this website.
Money market funds
These invest in cash investments, such as bank deposits. Often referred to as "cash funds", they offer higher returns than a building society account but still have the same level of security.
Multi-manager funds
Multi-manager funds (also known as funds of funds) invest in a number of other funds or unit trusts, including those managed by other investment managers. They provide a one-stop solution for investors looking for portfolio diversity.
Multi-tied adviser
A type of financial adviser who can only sell products from a limited number of financial institutions. Not to be confused with an independent financial adviser, who can choose from all products on the market.