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OPM

   Also found in: Acronyms, Encyclopedia, Wikipedia 0.01 sec.
OPM
Stands for "other people's money," which refers to borrowed funds used to increase the return on invested capital.

OPM
Other people's money; informal term for the use or investment of borrowed funds. For example, a bank uses OPM to lend to its borrowers as the money it uses for loans (theoretically) comes from its deposits.

other people's money (OPM)

A common expression used when talking about the multiplying effect of using borrowed funds to purchase property rather than paying all cash. Investors will say, “I'm using OPM for the deal.”



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