Finance Glossary

1	Restricted funds	These are funds used by an organization that are restricted or earmarked by a donor for a specific purpose, which can be extremely specific or quite broad, eg., endowment or pensions investment; research (in the case of donations to a charity or research organization); or a particular project with agreed terms of reference and outputs such as to meet the criteria or terms of the donation or award or grant. The source of restricted funds can be from government, foundations and trusts, grant-awarding bodies, philanthropic organizations, private donations, bequests from wills, etc. The practical implication is that restricted funds are ring-fenced and must not be used for any other than their designated purpose, which may also entail specific reporting and timescales, with which the organization using the funds must comply. A glaring example of misuse of restricted funds would be when Maxwell spent Mirror Group pension funds on Mirror Group development.
2	T/T (telegraphic transfer)	International banking payment method: a telegraphic transfer payment, commonly used/required for import/export trade, between a bank and an overseas party enabling transfer of local or foreign currency by telegraph, cable or telex. Also called a cable transfer. The terminology dates from times when such communications were literally 'wired' - before wireless communications technology.
3	Advance-Decline Ratio	A ratio that technical analysts use to assess market breadth by two of its indicators: Advances – increases in trading volume – and declines – decreases in trading volume. Essentially, it is the number of stocks that rose divided by the number of stocks that fell during a given time period. An increasing ratio is considered very bullish, especially if the rise is associated with increasing volume; a falling ratio is bearish.
4	Market Breadth	A technique used in technical analysis that attempts to gauge the direction of the overall market by analyzing the number of companies advancing relative to the number declining. Positive market breadth occurs when more companies are moving higher than are moving lower, and it is used to suggest that the bulls are in control of the momentum. Conversely, a disproportional number of declining securities is used to confirm bearish momentum.
5	Third Market	A market for trading listed securities that does not occur on the trading floor and often involves orders big enough to disrupt trading. The two parties to the trade negotiate the price between themselves, often facilitated through a third market broker. The third market consists of a number of firms that trade large blocks of listed stock for institutions
6	Bellwether Stocks	Key stocks that may be indicators of the economy’s direction (i.e. whether it is headed into a bear or bull market). A rally in these stocks, which are generally blue-chip stocks, may indicate an end to a bear market, because it shows that institutional investors are ready to re-invest.