Ex.8. Fill in the missing prepositions and adverbs.

1. You can expand your portfolio … investing … a wide range … stocks and bonds.

2. Stockbrokers buy and sell stocks and bonds … their clients.

3. If the market is strong, expect a good return … your investment.

4. Mutual funds are managed … a group … fund managers who add all the investor’s money together to invest … a variety of things.

5. If inflation remains low, he will make a huge return … his investment.

6. An investment bank is a firm that controls the issue … new securities.

7. Speculation … derivative instruments such … futures, options and swaps has been criticized … its effects … the stock markets.

8. Portfolio is a selection … investments held … an individual or organization.

9. Securities issued … the British Government are called gilts or gilt-edged securities.

10. Unlike a stock, a bond is evidence not … ownership, but … a loan … a company or … a government.

(to (2), for, as, on (3), on behalf of, of (6), in (3), by (4))

Exercises in Comprehension

Ex.1. Answer the following questions:

1. What do we mean by “investments”?

2. What is the objective of investing?

3. What is portfolio?

4. What services do mutual funds provide?

5. What types of investment opportunities exist apart from the stocks and shares?

6. What does the term “gilt-edged security” signify?

7. What are derivatives?

8. What right do futures contracts give investors?

9. What kind of contract enables the holder to buy a security at a fixed price for a limited period?

10. What do swaps allow?

Ex.2. Sum up what you remember about:

a) investments and their objective;

b) unit trusts/mutual funds;

c) gilts/treasury bonds;

d) derivative instruments

Grammar Revision

Ex.1. Choose the most suitable tense:

1. Why didn’t you phone me? If you phoned/had phoned me, I would have reserved/had reserved a room for you.

2. If you organized/had organized your conference last month, I was able/would have been able to take part in it.

3. If he lent/had lent me the money, I would pay/ would have paid him back last week.

4. If you had been there at that moment, what would you do/would you have done?

5. Why didn’t you say that you were short of money? If I knew/had known, I would lend/would have lent you some.

6. She was so impatient. If she had been/ were more patient, she would received/would have received everything she needed.

7. If I didn’t lose/ hadn’t lost my key, I wouldn’t have/ wouldn’t have had to wait outside in the rain.

8. If the traffic hadn’t been/ were not so heavy, we would arrive/ would have arrived on time.

9. If I weren’t/ hadn’t been promoted then, I would leave/ would have left the company.

10. If I hadn’t saved/ didn’t save enough money, I wouldn’t buy/wouldn’t have bought this house.

11. If he didn’t gamble/ hadn’t gambled so much, he wouldn’t lose /wouldn’t have lost all his money.

12. If I knew/ had known yesterday that you were coming, I would meet/ would have met you at the airport.

13. You wouldn’t get / wouldn’t have got into trouble last time if you followed/ had followed my advice.

14. He never would buy/ would have bought shares in that company if you didn’t recommend/hadn’t recommended him to do it.