Market Portfolio: A portfolio consisting of all assets available to investors, with each asset held in proportion to its market value relative to the total market value of all assets.

 

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Market Portfolio: A portfolio consisting of all assets available to investors, with each asset held in proportion to its market value relative to the total market value of all assets.

Market Price Of Risk: A measure of the extra return, or risk premium, that investors demand to bear risk. The reward-to-risk ratio of the market portfolio.

Market Return: The return on the market portfolio.

Two-Sided Market: The theoretical result that all investors will hold a combination of the risk-free asset and the market portfolio.

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 . . . View Full Definition

Minimum-Variance Portfolio: The portfolio of risky assets with lowest variance.

Mean-Variance Efficient Portfolio: Related: Markowitz efficient portfolio

Miss The Price-Market: Used for listed equity securities. (1) Have an order in hand but fail to execute a transaction on terms favorable to a customer and, thus, be negligent as a broker; (2) receive an order just . . . View Full Definition

Milk Marketing Orders: Administered by the Agricultural Marketing Service, federal milk marketing orders were first instituted in the 1930s to promote orderly marketing conditions by, among other things, applying . . . View Full Definition

Modern Portfolio Theory: In making investment decisions, adherents of modern portfolio theory focuses on potential return in relation to potential risk. The strategy is to evaluate and select individual securities a . . . View Full Definition