A slang term for the uncontested market space for an unknown industry or innovation. Coined by professors W. Chan Kim and Renee Mauborgne in their book "Blue Ocean Strategy: How to Create Uncontested Market Space and the Make Competition Irrelevant" (2005), blue oceans are associated with high potential profits. In an established industry, companies compete with each other for every piece of available market share. The competition is often so intense that some firms cannot sustain themselves and stop operating. This type of industry describes a red ocean, representing saturated market share, bloodied by competition. To avoid costly competition, firms can innovate or expand in the hope of finding a blue ocean. A blue ocean exists where no firms currently operate, leaving the company to expand without competition.
When a domestic investor purchases a foreign asset and then transfers that asset to a domestic bank branch located offshore. Then, the funds from the foreign asset are transfered into a bank account in the domestic country. The domestic investor usually has a partner transferring assets to the foreign branch on his or her behalf. Blue chip swaps, which were performed in Brazil during the late '90s, were a result of a law that reduced the amount of capital inflow into the country. The law prohibited direct foreign investments in the country's derivative markets, but blue chip swaps allowed this type of investment to continue.
A takeover offer that is intended to be so attractive that very few objections will arise and the takeover will occur swiftly. In German, "blitz" means lightning and "krieg" means war. Thus, a blitzkrieg (lightning war) refers to a surprise offensive that is both powerful and swift and was used to describe World War II bombing raids. To curtail surprise takeovers such as Blitzkrieg Tender Offers and Saturday Night Specials, the Williams Act of 1968 was introduced, placing severe restrictions on tender offers and required disclosure of direct or indirect ownership of 5% or more of any class of equity.
The name given to the first formal recommendation report issued by an underwriter for an IPO. It is presented in the process of the public offering. The booster shot acts as a way to reinforce attractiveness of the new issue. The underwriter attempts to ensure a successful offering by strengthening the issues appeal.
A general term that refers to a benefit or improvement for investors. This can include such things as increased dividends, a stock market rally and stock buybacks. This term is often seen in the investment press in such headlines as "This Boom is a Boon to Investors". Essentially, any event or period in which investors experience robust returns could be referred to as a boon.
A small but sharp increase in business activity, political activity or birth rates in a particular region over a certain period of time. Where a boom is considered a period of vigorous growth and prosperity, a boomlet can be regarded as a mini-boom. A boomlet has the same business, political or growth rate activity as a regular boom, but to a lesser degree. A boomlet may be a smaller or less enduring trend when compared to a traditional boom. A boomlet is a small boom. In the stock market, a boomlet is associated with a temporary but sustained increase in prices, or a period of buying and rising prices (as opposed to a bust, or a bear market with falling prices). An example of a boomlet is the 2% increase in the U.S. fertility rate during 2005 and 2006. In 2006, birth rates in the U.S. stabilized the population for the first time since 1971.
An investing strategy that involves buying equities directly related to the spending behavior of baby boomers (people born between 1946 and 1964). Areas such as biotech, healthcare and luxury cars are the kinds of companies that stand to benefit from this age group. People using the boomernomics investing strategy also invest in companies that offer products such as motor homes or dentures, which are geared toward aging or retiring consumers.
Storage space for obsolete items. The term boneyard derives its name from the fact that items stored here are generally stripped of any usable parts until only their “skeletons” remain. Scrap yards for vehicles and industrial machinery often resemble metal boneyards. In the office environment, storage rooms for obsolete computers and other hardware may be considered to fit the boneyard category as well.