Matching Orders
What is Matching Orders? Matching orders refers to the process of entering identical orders of buy and sell simultaneously to encourage trading in that particular security. When an investor wants to buy a certain quantity of security and another investor seeks to sell a similar quantity of that security at a similar price, the orders...
Merger Arbitrage
What is Merger Arbitrage? Merger arbitrage, otherwise known as risk arbitrage, is an investment strategy that aims to generate profits from successfully completed mergers and/or takeovers. It is a type of event-driven investing that aims to capitalize on differences between stock prices before and after mergers. Investors who employ merger arbitrage strategies are known as...
Middle-Market Firm
What is a Middle-Market Firm? A middle-market firm is one with a size that falls in the middle range of a market or industry. U.S. businesses can be divided into three categories – the big, middle-market, and small businesses. The middle-market firms are larger than the small businesses and smaller than the big businesses. They...
Master-Feeder Structure
What is a Master-Feeder Structure? A master-feeder structure is an investment structure used by hedge funds under which multiple investors invest in onshore and offshore “feeder” funds, which, in turn, invest in a larger “master” fund. The master and feeder funds are typically managed by the same designated investment manager, and investments are made in...
Main Street vs. Wall Street
What is Main Street vs Wall Street? “Main Street vs Wall Street” is used to describe the contrast of general consumers, investors, or small local businesses with large investment corporations. Main Street represents the small and local ones, including small businesses, general individual investors, and small independent investment firms. Wall Street, as a symbol of...
