pool

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Pool

In capital budgeting, the concept that investment projects are financed out of a pool of bonds, preferred stock, and common stock, and a weighted-average cost of capital must be used to calculate investment returns. In insurance, a group of insurers who share premiums and losses in order to spread risk. In investments, the combination of funds for the benefit of a common project, or a group of investors who use their combined influence to manipulate prices.

Pool

1. A group of financial instruments that may be placed into the same investment vehicle. A major example is a mortgage pool, which consists of mortgages that are divided up and placed into large groups to be sold as securities.

2. Funds that a group of investors put together to invest for mutual benefit. A major example of a pooled fund is a mutual fund.

pool

1. A temporary affiliation of two or more people in an attempt to manipulate a security's price and/or volume. The pool is necessary in order to acquire the capital needed to manipulate a stock having a large market value. Pools were especially popular in the 1920s and early 1930s but now have been regulated out of existence. See also blind pool, trading pool.

pool

A group of mortgage loans used as security for a bond issue. See collateralized mortgage backed securities.

References in periodicals archive ?
The Lebanese government and insurance companies can and should set up a risk pool -- using international best practices -- to respond to a shrinking supply of political violence coverage and increasing premiums.
The largely decentralized and autonomous nature of high risk pool development and evolution reflects how program design and purpose can cohere around a set of principles and practices that are shared by the states.
As it is, the benefits flow mainly to policyholders, and only indirectly to businesses in the Assigned Risk Pool and to the state as a whole.
Today, risk pools not only carry out the risk finance role, but also provide many other services, such as training, to eliminate potential risks.
The amount of the physician's contribution to the risk pool is usually 10 to 20% of the agreed-to-pay amount for that particular procedure.
Worse, insurers have a great reason to broadly define what constitutes a pre-existing condition and send as many people as possible to the high risk pool.
Richard Russo provides a verbal mobile in The Risk Pool.
A bill to establish a health insurance risk pool has passed the state House of Representatives but is coming under increasing fire as "nothing more than a tax subsidy for the rich.
and letting states innovate like Wisconsin and Maines invisible high risk pool.
The analysts point out that consumers would know if they were in special risk pool plans, might feel bad about the coverage, and might not get the same level of care coordination they would get in a good private plan.
Health policy watchers once predicted the federal PCIP risk pool program would attract more than 200,000 uninsured Americans with health problems, and that program managers would soon have to shut out many applicants.