IV. Language

Exercise 7. Read and translate the following international words:

Index, investor, project, finance, stability, sector, component, speculative, recession, depression.

Exercise 8. Make derivatives out of the following verbs and define their part of speech.

to invest, to grow, to develop, to move, eventual, finance, to govern, to manage, to distribute, to allocate, broker, strict.

Translate the following words as nouns and as verbs:

List, stop, loan, change, force, increase, place, form, risk, fund, share, issue, trade.

Exercise 9. Complete the words with missed letters and match with Ukrainian equivalents.

To _ff__d Se_u__ti_s B_n_s St_ck__ok_r To l_an D_ri_at_v_s Is__e Re__m_ti_n _ss_ts

Випуск акцій Давати позику Викуп власних акцій Деривати (вторинні фінансові інструменти) Облігації Активи Цінні папери Надавати Фондовий брокер

Exercise 10. Insert the suitable words and word combinations given below into the following sentences:

1. A….is a loose network of economic transactions for the trading of company…..

2. Individual ….. are considered participants of the stock market.

3. Stock market allows businesses ….. additional capital.

4. Stock exchanges provide facilities for … and redemption of securities.

5. The …. of stocks and …. to investors is done in the primary market.

6. …. act as consultants for their clients.

Exercise 11. Match the definitions to the economic terms in the left column:

Stock market stock exchange a stock index securities shares

a) units of ownership in a corporation or fund b) a form of exchange which provides services for stock brokers and traders to trade stocks, bonds, and other securities. c) a public entity for the trading of company shares and derivatives at an agreed price. d) a method of measuring the value of a section of the stock market. e) tradable assets.

Exercise 12. Make up the possible word combinations out of the following and translate them:

Exercise 13. Find the odd word and explain your choice:

1. BONDS SHARES DERIVATIVES DIVIDENDS

2. HEDGE FUNDS INSTITUTIONAL INVESTORS RETAIL INVESTORS EQUITY MARKET

3. RECESSION DEPRESSION REDEMPTION

V. Text understanding

Exercise 14. Find in the text sentences containing the following points and translate them.

1. Products tradable on a stock market

2. Participants of stock market

3. The initial offering of stocks and bonds

4. The purpose of a stock exchange

5. Government capital-raising

6. The role of stock exchange as barometer of the economy

Exercise 15. Decide whether the following facts are true or false. Put them to the corresponding column. Consult your group-mates.

1. shares are securities; 2. stock market always has physical location; 3. stock exchanges mobilize savings for investment; 4. When governments want to borrow money they sell derivatives; 5. Dow Jones Industrial Average is a type of stock exchange; 6. only brokerage firms are members of a stock exchange; 7. having a wide and varied scope of owners, companies improve management standards; 8. Stock exchange affords investors the liquidity.

Exercise 13. Find answers to the following questions in the text. Work in pairs:

1. What is a stock market? What are market participants?

2. What is stock index. What is the most famous one?

3. What is Stock exchange? What is its main purpose?

4. What types of brokers are there?

5. What roles in the economy do Stock Exchanges play?

6. Why are Stock Exchanges often called barometer of the economy?