DEFINITION of Pot Is Clean

Pot is clean is a slang phrase referring to a situation in which an underwriter has successfully sold to investors all of its available shares of an initial public offering (IPO). Also known in more formal terms as "fully subscribed."

BREAKING DOWN Pot Is Clean

. Furthermore, upon launch into the market, the share price is firm or receives a modest bump up. That type of scenario would be ideal for both underwriter and its client.