A fraudulent investment scheme that purports to deliver extraordinarily high returns on investment. High-yield investment schemes often advertise yields of more than 100% per year in order to lure in victims. In reality, these high-yield investment programs are Ponzi schemes, and the organizers aim to steal the money invested. This scam is also known as the "prime bank scam". The SEC advises that there are several warning signs that investors can use to help avoid being victimized by high-yield investment program scams. These include excessive guaranteed returns, fictitious financial instruments, extreme secrecy, claims that the investments are an exclusive opportunity, and inordinate complexity surrounding the investments.
The minimum amount of return that a person requires before they will make an investment in something. This is the rate of return that will get someone "over the hurdle" and invest their money.
An investment structure in which several investment vehicles, while each remaining individually managed, pool their assets together by contributing to one central investment vehicle. The smaller investment vehicles are referred to as the "spokes" and the central investment vehicle is referred to as the "hub".This is also called a "master-feeder structure". Employing a hub and spoke structure can provide substantial benefits to managers of investment funds or similar investment vehicles.The common key benefit is derived from tax savings created by the structure. U.S. investors who have taxable investments in off-shore investment companies will likely incur tax liabilities due to the offshore fund's (the spoke) classification as a passive foreign investment company (PFIC). However, the central investment fund (the hub) can avoid PFIC status, and when structured as a partnership with the spoke fund, insulate the investor from taxes that would otherwise be incurred on the spoke fund.As well, hub and spoke structures provide economies of scale to their participating investment vehicles, which can further enhance the bottom-line returns for investors.
The number of residential building construction projects that have begun during any particular month. This is considered to be a crucial indicator of economic strength. If the economy is strong, people are more likely to buy new homes.
A slang phrase that refers to the relentless phone calls that some hedge fund managers make to analysts in an attempt to persuade the analysts to change their rating on a stock. Hedge fund managers will often call analysts and present a very persuasive argument as to why a stock deserves an upgraded rating. The hounding does not always lead an analyst to change his or her rating, but it works enough of the time for the practice to persist. An upgraded rating usually results in an increase in share price. Alternatively, hedge funds will often call company executives in an attempt to decipher why a share price is being depressed for seemingly no reason. This shows that some hedge funds are not picky as to who they harass or hound--their primary concern is fund performance.
An index that indicates the state of the economy by measuring the number of attractive people working as waiters/waitresses. According to the hot waitress index, the higher the number of good looking servers, the weaker the current state of the economy. It is assumed that attractive individuals do not tend to have trouble finding high-paying jobs during good economics times. During poor economic times, these jobs will be more difficult to find and therefore more attractive people will be forced to work in lower paying jobs such as being waiters/waitresses. Traditional economic theory contends that employment tends to be a lagging indicator for economic recovery. However, the hot waitress economic index could be a coincident or even a leading indicator for economic recovery because attractive people may be the first group of individuals to find better paying jobs when a bad economy begins to turn around.
1. Money that flows regularly between financial markets as investors attempt to ensure they get the highest short-term interest rates possible. Hot money will flow from low interest rate yielding countries into higher interest rates countries by investors looking to make the highest return. These financial transfers could affect the exchange rate if the sum is high enough and can therefore impact the balance of payments.2. Stolen money that is marked so as as to be traceable. 1. Banks usually attract "hot money" by offering relatively short-term certificates of deposit that have above-average interest rates. As soon as the institution reduces interest rates or another institution offers higher rates, investors with "hot money" withdraw their funds and move them to another institution with higher rates. 2. Hot money might have been involved in a robbery and tracked through dye marks on each bill or through recorded serial numbers.
The process of forming and relating ideas. Ideation means to conceive or generate an idea and implement it. Ideas are the result of mental activity that can be based on past or present knowledge, thoughts, opinions, convictions or principles. Ideation means to conceptualize an idea. It is the thought processes involved in apprehending and expressing a new concept, often in a graphical format.