The U.S.-sponsored program implemented following the Second World War to aide European countries that had been destroyed as a result of the war. The Marshall Plan was laid out by U.S. Secretary of State George Marshall during an address at Harvard University in 1947, and it was authorized by Congress as the European Recovery Program (ERP). |||The Marshall Plan gave over $13 billion in aide to European nations and was key in revitalizing their post-war economies. By the time U.S. funding ended in 1952, the economies of all the European recipients had surpassed pre-war levels, and the plan was considered a success.
PIMCO is a global investment management firm that primarily focuses on portfolio management, account management and business management. PIMCO specializes in fixed income securities and manages the internationally known Total Return Fund. PIMCO was founded in 1971 by Mohamed A El-Erian and bond expert Bill Gross. The firm has grown to be one of the largest asset management firms in the world, with approximately $1 trillion of assets under management.
Government legislation that was created in 1970 to prevent financial institutions from being used as tools by criminals to hide or launder their ill-gotten gains. This is achieved by requiring banks and other financial institution to provide documentation (such as currency transaction reports) whenever clients deal with transactions that involve substantial sums of money ($10,000 or more) that appear to be suspicious. This way, authorities have the ability to easily reconstruct the entire situation.Also known as "Currency and Foreign Transactions Reporting Act". |||This is not to say that every transaction exceeding $10,000 is documented. The BSA has a list of exceptions that do not require documentation. Government departments/agencies and companies listed on the major North American exchanges are two examples of exempt parties.While this act is useful in fighting criminal activity, as with all matters of privacy, the act is somewhat controversial as there are very few guidelines defining what is considered suspicious and law enforcement agencies do not need to get a court order to gain access to the information.
1. One of the four categories (quadrants) in the BCG growth-share matrix that represents the division within a company that has a large market share within a mature industry. 2. A business, product or asset that, once acquired and paid off, will produce consistent cash flow over its lifespan. 1. A cash cow requires little investment capital and perennially provides positive cash flows, which can be allocated to other divisions within the corporation. These cash generators may also use their money to buy back shares on the market or pay dividends to shareholders. 2. This term is a metaphor for a dairy cow that produces milk over the course of its life and requires little maintenance. A dairy cow is an example of a cash cow, as after the initial capital outlay has been paid off, the animal continues to produce milk for many years to come.
A Fibonacci trading tool used to aid investors in indentifying price movements. Essentially, using this model, investors attempt to buy high and sell low. One of its main uses is to indentify the underlying structures of price movements by analyzing the changing shape of the ellipse. The Phi Ellipse is normally drawn by a computer program due to its complexity. Generally speaking, a phi ellipses is used to detect price patterns so investors are better capable of forecasting pricing moves, and therefore, able to detect when a buy or sell is in order. These patterns found in the ellipses have practical application to many trading forums, such as Forex trading platforms.
A trading system that involves human decision-making for entering and exiting trades. This is in contrast to automatic trading, which employs programs linked to market data, which are able to originate trades based on human instructional criteria. Manual traders often employ computer programs in order to consolidate information. In some cases, they may also set automated indicators to alert them to potential trading opportunities. However, in all cases, human input is required to authorize trades. |||There is an ongoing debate as to whether automated trading is advisable or not. Currently, most traders believe that manual trading is superior, since human judgment is required to gauge market trends and control risk. They feel that the proper place for automation is in monitoring data and consolidating it for human interpretation. However, proponents of automated trading argue that this method is superior, since it takes irrational human behavior out of the equation. This debate is likely to become even more relevant as programmable trading continues to become even more sophisticated.
An index used by some investors to gauge industrial production by using the output of cardboard boxes to predict the purchases of non-durable consumer goods. This is considered to be a relatively good measure. It is estimated that nearly 75 to 80 percent of all non-durable goods are shipped in corrugated containers. Therefore, the greater the amount of cardboard boxes being made, the greater the amount of cash being invested by companies to produce goods.
Now known as the NYSE Euronext (NYX), the Paris Stock Exchange trades both equities and derivatives and posts the CAC 40 Index. This index is made up of French companies, although nearly half of these are owned by foreign entities. NYX seeks to offer the most modern and advanced trading platform and services available to traders. The NYX is the first European integrated stock exchange. It was created in 2000 when the Paris, Brussels and Amsterdam exchanges all merged. It employs the NSC system for trading and uses LCH Clearnet to clear its transactions.