Open market

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Open market.

In an open market, any investor with the money to pay for securities is able to buy those securities.

US markets, for example, are open to all buyers. In contrast, a closed market may restrict investment to citizens of the country where the market is located.

Closed markets may also limit the sale of securities to overseas investors, or forbid the sale of securities in specific industries to those investors.

In some countries, for example, overseas investors may not own more than 49% of any company. In others, overseas investors may not invest in banks or other financial services companies.

The term open market is also used to describe an environment in which interest rates move up and down in response to supply and demand.

The Federal Reserve's Open Market Committee assesses the state of the US economy on a regular schedule. It then instructs the Federal Reserve Bank of New York to buy or sell Treasury securities on the open market to help control the money supply.

References in periodicals archive ?
The open market purchases are intended to be voluntary and there are no assurances that the Company will actually purchase all or any of its common shares noted.
Based on the Form-4 Filing, this appears to be an open market purchase and there were no footnotes or special circumstances described in the filing.
This also appears to be an open market purchase and there were no footnotes or special circumstances described in the filing.
Given Titan's ability to use these NOL's, it will seek to rapidly de-leverage its balance sheet and subject to its financing agreements, it may from time to time make open market purchases of its common stock.
Share purchases will be conducted by the independent trustee of the trust through open market purchases.
Share purchases will be made from time to time at the discretion of the independent trustee of the trust through open market purchases.
Pursuant to this new program, purchases of shares of the company's common stock will be made from time to time, subject to market conditions and at prevailing market prices, through open market purchases.
Collins and MacGorman may in the future take such action in respect of their respective shareholdings as each may deem appropriate in light of the circumstances then existing, including the purchase of additional shares or other securities of Medipattern through open market purchases or privately negotiated transactions, or the sale of all or a portion of their respective holdings in the open market or in privately negotiated transactions to one or more purchasers.
Under its current normal course issuer bid that commenced on April 21, 2004 and expires on April 20, 2005, Brascan has purchased 417,695 Class A Shares through open market purchases on the Toronto Stock Exchange and the New York Stock Exchange at an average price per shares of C$42.