• The sale of a bond or other security directly to a limited number of investors.
• The sale of a new security issue, typically debt or preferred stock, directly to an investor, institutional investor or group of investors. These securities will not trade on financial markets after issue.
• An issue that is offered to a single or a few investors as opposed to being publicly offered. Private placements do not have to be registered with the SEC.
Beware of fraud originating in phone messages and faxes: FDIC Consumer News has warned before about crooks who call or e-mail consumers and pretend to be legitimate companies or government agencies wanting people to "verify" or "resubmit" (divulge) confidential information such as bank account or credit card numbers as well as Social Security numbers, passwords and personal identification numbers. Here are variations to know about. More...
A new idea is delicate. It can be killed by a sneer or a yawn; it can be stabbed to death by a joke or worried to death by a frown on the right person's brow. - Charles Brower