ShmoopTube

Where Monty Python meets your 10th grade teacher.

Search Thousands of Shmoop Videos


Board of Directors Videos 111 videos

Finance: What are Passive Investing and Passive Investors?
2 Views

What are Passive Investing and Passive Investors? Passive investing and passive investors are ones who opt to ride the market out over the long ter...

Finance: What are Secured Bonds v Unsecured Bonds, and what is Non-Recourse Debt: Debentures (Subordinated and Senior)?
68 Views

When a bond is secured, it means it's protected, i.e. there are assets that would be forfeited if repayment is not made. When it's unsecured... it'...

Finance: What is Power Of Attorney (Trading Authorization)?
2 Views

Power of attorney refers to the authorization to conduct business on legal and financial matters on behalf of another party. So...choose wisely.

See All

Finance: What is an Affiliated Person or Affiliated Investor? 3 Views


Share It!


Description:

What is an Affiliated Person or Affiliated Investor? An affiliated person is known as an insider in the financial world. These are the people who have a large influence over a corporation, like the board of directors and high stake shareholders.

Language:
English Language

Transcript

00:00

finance a la shmoop - What is an affiliated person or affiliated investor

00:08

ah Phil he eight ed.. affiliated meaning with or connected to or legally

00:15

conjoined at the hip that's affiliated well why does the concept even matter or

00:21

exists in finance land well because too many times in the dark [Ancient ornament appears]

00:24

days before the SEC was invented family members seemed to always get spectacular

00:30

breaks in knowing just when to buy stock right before the big merger happened

00:36

well the SEC took notice and basically declared that affiliated people like

00:41

family members or people living under the same roof or connected in various

00:45

and sundry other you know close means well all of them would be treated more [The Daily Shmoop newspaper page]

00:50

or less as the same person as far as the law was concerned they created this

00:55

notion of an affiliate so that Joe Sixpack would have at least as fair a [Joe Sixpack appears]

00:59

chance to get positive investment returns at least as close as you know

01:03

the the close-knit cousin living in the guest home of the CEO of whatever

01:08

dot-com only back then it was just called whatever simply said if you're an

01:12

affiliate of an insider ie someone who can't just buy and sell shares of a

01:17

given company whenever they want because they have inside knowledge then you the

01:21

affiliate are legally treated as if you yourself are the insider that's an [Insider and affiliate side by side]

01:26

affiliate so don't let what happen to Phil happen to you [Phil standing behind bars]

Related Videos

GED Social Studies 1.1 Civics and Government
39794 Views

GED Social Studies 1.1 Civics and Government

Fake News
11939 Views

How do you tell fake news from real news?

Finance: What is Bankruptcy?
260 Views

What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...

Finance: What is a Dividend?
1777 Views

What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...

Finance: How Are Risks and Rewards Related?
589 Views

How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...