Financial and business terms. 2012.
Greater fool theory — The greater fool theory (sometimes the bigger fool theory, also called survivor investing) is the belief held by one who makes a questionable investment, with the assumption that they will be able to sell it later to a bigger fool ; in other… … Wikipedia
Greater Fool Theory — A theory that states it is possible to make money by buying securities, whether overvalued or not, and later selling them at a profit because there will always be someone (a bigger or greater fool) who is willing to pay the higher price. When… … Investment dictionary
greater fool theory — The idea that there is always someone willing to pay a higher price. ► “When stocks are selling a 100 times or infinite times earnings they are depending on the greater fool theory.” (Scott Black, on Wall Street Week, Nov. 3, 1995) … American business jargon
greater fool theory — noun The theory of making money by buying something for the sole reason of selling it to someone else for a higher price … Wiktionary
Economic bubble — An economic bubble (sometimes referred to as a speculative bubble, a market bubble, a price bubble, a financial bubble, a speculative mania or a balloon) is trade in high volumes at prices that are considerably at variance with intrinsic values… … Wikipedia
Stock — For capital stock in the sense of the fixed input of a production function, see Physical capital. For other uses, see Stock (disambiguation). Financial markets Public market Exchange Securities … Wikipedia
Equity investment — generally refers to the buying and holding of shares of stock on a stock market by individuals and funds in anticipation of income from dividends and capital gain as the value of the stock rises. It also sometimes refers to the acquisition of… … Wikipedia
Ponzi scheme — A Ponzi scheme is a fraudulent investment operation that involves promising or paying abnormally high returns ( profits ) to investors out of the money paid in by subsequent investors, rather than from net revenues generated by any real business … Wikipedia
Tulip mania — A tulip, known as the Viceroy , displayed in a 1637 Dutch catalog. Its bulb cost between 3000 and 4200 florins depending on size. A skilled craftsman at the time earned about 300 florins a year.[1] Tulip mania or tulipomania (Dutch names include … Wikipedia
Bagholder — The term bagholder is an informal slang term used in U.S. financial markets to refer to the shareholders left holding shares of worthless stocks. [cite web|title=Stockholders, Stakeholders, and Bagholders|url=http://papers.ssrn.com/sol3/papers.cfm… … Wikipedia
