I use the expression ‘money market’ to describe those institutions in the City of London who are active in borrowing and lending money for short periods, from a single day to perhaps 5 years at the most. From being a tight circle centred on the Bank of England, the discount houses, and the clearing banks the money market has now grown to include, as active investors, public corporations, local authorities, merchant banks, overseas banks, hire-purchase companies, building societies, trustee savings banks and Lloyd's syndicates. In addition, institutions with long-term liabilities, such as insurance companies and pension funds, will occasionally have business to transact in short-dated securities, an example being the profitable employment of funds earmarked for the purchase of real property in a few months' time. In any event, it is worth while to remember that the long term consists of a series of short terms.