Definition: A poison pill is a way to make a company less attractive to a hostile buyer. This prevents hostile takeovers and changes in management.
Advice: Common types of poison pills include the following:
1.) The right for existing shareholders to buy shares at a discount (dilutes the acquirer) 2.) Granting more voting rights to existing shareholders. 3.) Companies may issue lots of debt or preferred stock to make themselves less attractive.
Enhanced Index Fund
- an enhanced index fund is strategy term employed to outperform traditional
indexing. The fund is aimed at an index (an indicator, representing
the value of a security) but the fund is also attempting to boost returns
by staying clear of the index in order to...