WORD OF THE DAY: NOVATION - may mean any of the following : (1) The substitution of an existing debt with a newer debt. (2) An arrangement to substitute an existing party to a contract with a new party. All of the original parti ... More
1. ) pertains to the purchase or buy out of relatively smaller companies in a sector by a rapidly growing company in the same sector. The strategy is to create economies of scale. For instance, the movie theater industry underwent significant consolidation in the 1960s and 1970s.
Fund Letters
