Stuffing

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Dictionary Says

Definition of 'Stuffing'

The act of selling undesirable securities from the broker-dealer's account to client accounts. Stuffing allows broker-dealer firms to avoid taking losses on securities that are expected to decline in value. Instead, client accounts take the losses. Stuffing can also be used as a means to raise cash quickly when securities are relatively illiquid and difficult to sell in the market.
Investopedia Says

Investopedia explains 'Stuffing'

While stuffing is widely regarded as unethical, it can be difficult to prove whether such transactions constitute fraud. Often, broker-dealers are given the power to buy and sell without client consent for "discretionary" accounts. Furthermore, the legal standard for broker-dealers buying securities for these accounts is "suitability," which can be broadly interpreted. Since discretionary accounts provide so much power to broker-dealers, many financial advisors suggest that customers insist on providing consent for all transactions in their accounts. 
Search results for

'Stuffing'

  • Common Clues Of Financial Statement Manipulation

    http://www.investopedia.com/articles/07/statementmanipulation.asp
    ... This is usually called channel stuffing. ... Channel stuffing can be detected in two
    figures: the stated inventory levels and the cash meant to cover bad accounts. ...

  • 6 Ways To Save On Thanksgiving Dinner - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1111/6-Ways-To-Save-On-Thanksgiving-Dinner.aspx
    ... $4.35 per person. The cost of thanksgiving staples like turkey, peas and
    stuffing mix all came down in price in 2010. The study ...

  • Your Subsidized Holiday Feast - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1210/Your-Subsidized-Holiday-Feast.aspx
    ... Pecan Pie, Stuffing and Yorkshire Pudding Flour is one of the most ubiquitous cooking
    essentials used in practically everything from baked goods to sauces and ...

  • Top 8 Ways Companies Cook The Books

    http://www.investopedia.com/articles/analyst/071502.asp
    ... about the changes, read New Accounting Rules To Accelerate Revenue Recognition.)
    A second revenue-acceleration tactic is called "channel stuffing." Here, a ...

  • Operating Cash Flow: Better Than Net Income?

    http://www.investopedia.com/articles/analyst/03/122203.asp
    ... An example of income manipulation is called "stuffing the channel" To increase their
    sales, a company can provide retailers with incentives such as extended ...

  • Creative Accounting: When It's Too Good To Be True

    http://www.investopedia.com/articles/trading/10/creative-accounting-too-good.asp
    ... Channel Stuffing Channel stuffing occurs when a company ships products to distributors
    who are encouraged to buy under a short-term offer of deep discounts. ...

  • Recognize And Avoid "Work At Home" Scams

    http://www.investopedia.com/articles/pf/09/work-at-home-scam.asp
    From pyramid schemes to envelope stuffing, there are a lot of
    scams masquerading as legitimate part-time work. ...

  • Cooking The Books

    http://www.investopedia.com/video/play/understanding-cook-the-books
    Sign In• Register• Free Annual Reports • Free Newsletters. Dictionary;
    Investing; Markets; Personal Finance; Active Trading; Forex; ...

  • 8 Easy Ways To Slash Your Holiday Budget Slideshow | Investopedia

    http://www.investopedia.com/slide-show/slash-holiday-budget
    ... meals. Okay, so you probably don't need five pounds of green beans or a
    case of stuffing. Take a friend or two along with you. You ...

  • Pass On Wealth To Spread Holiday Cheer

    http://www.investopedia.com/articles/pf/07/holiday-cheer.asp
    ... retirement. Each has potential benefits and drawbacks that you should be
    considering before you start stuffing those gift-money envelopes. ...

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