Financial Dictionary

This dictionary contains:
24549
financial terms

Ponzi scheme




Ponzi scheme

A fraudulent investing scam that promises high rates of return at little risk to investors.

RELATED TERMS
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Return
The change in the value of a portfolio over an evaluation period, including any distributions made from the portfolio during that period.

Risk
The possibility of loss; the amount that one may lose when investing.



SIMILAR TERMS
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PREVIOUS AND NEXT TERMS
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Policy loan
A loan often made at a below-market interest rate from an insurance company to a policyholder that is secured by the cash surrender value of a life insurance policy.

Policyholder
An individual who owns an insurance policy.

Policyholder loan bonds
Packaged loans acquired by policyholders that are secured by the cash surrender value of the policies, and are offered by a broker-dealer as bonds.

Political risk
The financial risk that a country's government will suddenly change its policies.

Political risk insurance
The risk associated with possible negative events such as expropriation of assets, changes in tax policy, restrictions on the exchange of foreign currency, or other changes in the business climate of a country.

Ponzi scheme

Pool
1) In capital budgeting, the concept that investment projects are financed out of a pool of bonds, preferred stock, and common stock, and a weighted average cost of capital must be used to calculate investment returns. 2) In insurance, a group of insurers who share premiums and losses in order to spread risk. 3) In investments, the combination of funds for the benefit of a common project, or a group of investors who use their combined influence to manipulate prices.

Pool factor
The outstanding principal balance divided by the original principal balance with the result expressed as a decimal.

Pooled income fund
A type of mutual fund comprised of gifts that are pooled and invested together.

Pooling of interests
An accounting method for reporting acquisitions accomplished through the use of equity. The combined assets of the merged entity are consolidated using book value.

Poop
A slang term often used to describe people with insider information.

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This dictionary contains 24549 terms.







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