markup
- 5 dictionary resultsmark⋅up
[mahrk-uhp]
| 1. | Commerce.
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| 2. | the putting of a legislative bill into final form. |
| 3. | a detailed instruction, usually written on a manuscript to be typeset, concerning style of type, makeup of pages, and the like. |
1915–20; n. use of v. phrase mark up

Based on the Random House Dictionary, © Random House, Inc. 2009.
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Copyright © 2009 by Houghton Mifflin Company.
Published by Houghton Mifflin Company. All rights reserved.
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Markup
The difference between an investment's lowest current offering price among dealers and the higher price a dealer charges a customer. Markups occur when dealers act as principals (buying and selling securities from their own accounts, at their own risk), as opposed to brokers (receiving a fee for facilitating a transaction).
Investopedia Commentary
Certain securities are available for purchase by retail investors from dealers who sell the securities directly from their own accounts. The dealer's only compensation for the sale comes in the form of the markup, the difference between the price the security was purchased at and the price the dealer charges to the retail investor. The dealer assumes some risk by acting in this capacity, as the market price of the security in his or her inventory could drop before he/she is able to sell to investors.
Note that most dealers are also brokers, and vice versa, so the term broker-dealer is common.
Related Links
Brokers and Online Trading
Understanding Order Execution
Don't Let Brokerage Fees Undermine Your Returns
See also: Ask, Bid, Broker-Dealer, Demand, Markdown, Principal, Retail Investor, Security, Spread, Supply
Also spelled: mark up, markups
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markup
- An upward revaluation of a security by a dealer because of a rise in the security's market price. For example, a dealer may decide that a markup on a security issue held in inventory is appropriate because of a rising stock market. Compare markdown 1.
- See spread 3.
- The difference between the price charged by a dealer to a retail customer and the prevailing price at which the same security is being offered by market makers. Compare markdown 2.
Copyright © 2003. Published by Houghton Mifflin.
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markup text
In computerised document preparation, a method of adding information to the text indicating the logical components of a document, or instructions for layout of the text on the page or other information which can be interpreted by some automatic system.
For example, the source of this dictionary is marked up by enclosing cross-references in curly braces which are significant to the World-Wide Web server software.
(1995-03-30)
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