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Ponzi Scheme

Ponzi Scheme

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

More terms

Capital

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Bond

Learn what a bond is

Bull market

We explain what a 'bull market' means

Money laundering

A method of moving money obtained illicitly through the financial system so it can be used legally.

Arithmetic Mean

The sum of a set of numbers added together and then divided by the total amount of numbers in that set.

UK Treasury bill

A debt instrument issued by the UK government with a maturity of less than one year.

Forward pricing

Mutual funds are traded on a forward pricing basis, meaning the price you see will be different to the price you may trade at.

Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.

Annualised Rate of Return

The average annual return an investor sees over a set period of time.

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