schmuck insurance
Word Rarity
Rare
Frequency: Zipf frequency 2.52 in modern English
31
Scrabble Score
16
Letters
4
Syllables
11
Unique Chars
Meaning
noun
The situation where an owner sells a company but retains a portion in case the price appreciates in the future.
Informal; Uncountable
Example Sentences
- "The solution? Instead of selling 100% of the business, the seller either keeps a stake, or keeps an option to buy back part of it later. This solution, which was apparently popularized by Time Warner CEO Dick Parsons in the early 2000s ($, WSJ), is known as "schmuck insurance”."
- "In Wall Street parlance this is known as "schmuck insurance," a reference to the rather vulgar Yiddish word that has come to mean the equivalent of "idiot.""