Marco. Polo.
A place at your local rec center where a lot of accidents take place. It's also a type of investment fund.
A bunch of people get together and decide they're going to invest together. They set up a partnership, and everyone cuts a check. Now there's a large pool of money to invest. But they never really decided what to invest in.
This situation represents a blind pool. It's a bunch of money that gets gathered together, but with no specific investment goal in mind (at least at the outset).
So why would anyone do it? Sometimes it has to do with the person putting together the fund. It could be a famous investor, or a new fund formed by a well-established firm.
Cousin Jack is a wizard at finance. So, we'll just give him a few thousands of dollars to invest for us...we just want to piggyback on his stock picks. Aunt June, Uncle Perry, Mom, and Elsa Jean all do the same thing. We've just set up a blind pool for Cousin Jack. We don't know what he'll do with the money, but we have a lot of confidence that he'll do a good job.
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Finance: What is a Broker-Dealer?16 Views
Finance a la shmoop.. what is a broker-dealer? It's one of [Homeless guys holding help signs]
these guys who's making less than minimum wage right no that'd be a broke
dealer and you won't find too many of them in Lake Tahoe but yeah a broker is [Man talking about broker-dealers in Lake Tahoe]
just someone who takes a commission for selling stuff they live wherever there
are transactions in cars, boats, planes, homes and securities like stocks and
bonds so yeah it's a broker - dealer sort of like a writer-director
sexual deviant in Hollywood... Key takeaway here the broker dealer brokers
securities ie they take a commission and they deal in securities like they carry [People playing blackjack]
their own inventory of ten million shares of Amazon this week's selling
them for twelve hundred ninety dollars and 32 cents a share and buying them for
twelve hundred eighty eight dollars seventy nine cents a share making a
spread of...
equals a dollar fifty-three a share the dealer makes a spread of a buck fifty [Dealer and market transferring cash and stock]
three every time she trades a share of the Walmart killing behemoth yeah it's
sort of a Goliath slaying Goliath story there that Amazon Walmart thing we're
watching it so think about broker-dealer making money on both sides of the trades
that's the way to go if you're going to Wall Street make money no matter what [Man walking on Wall Street]
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