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Glossary Finance & Markets

Market capitalisation

Share price multiplied by shares outstanding: what the market says a company is worth in total. It is a valuation, not a measure of cash on hand.

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Standfirst

The short line under a headline that sets up the story. Called a dek in American…

Recession

A significant, broad decline in economic activity lasting more than a few months. The rough-and-ready definition…

Liquidity

How easily an asset can be bought or sold without moving its price. Thin liquidity is…

Short selling

Borrowing an asset, selling it, and hoping to buy it back cheaper. Losses are theoretically unlimited,…

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