Meaning SCORCHED-EARTH POLICY: Often used in risk arbitrage. Any technique a company that has become the target of a takeover attempt uses to make itself unattractive to the acquirer. For example, it may agree to sell off its crown jewels, or schedule all debt to become due immediately after a merger
More terms such as Scorched-earth policy in Dictionary S.
- Definition Super Bowl Indicator:
- Examples team from the old American Football League pre-1970 wins the Super Bowl, the stock market will decline during the coming year. If a team from the old pre-1990 National Football League wins the Super scorched-earth policy definition.
- Definition Spin-Off:
- Examples A company can create an independent company from an existing part of the company by selling or distributing new shares in the so-called spin-off scorched-earth policy explain.
- Definition Stagnation:
- Examples A period of slow economic growth, or, in securities trading, a period of inactive trading scorched-earth policy what is.
- Definition Scalp:
- Examples To trade for small gains. Scalping normally involves establishing and liquidating a position quickly, usually within the same day scorched-earth policy meaning.
- Definition Subject To Opinion:
- Examples opinion reflecting acceptance of a company's financial statements subject to pervasive uncertainty that cannot be adequately measured, such as information relating to the value of inventories scorched-earth policy abbreviation.
