hot money

"Hot money" describes highly liquid funds that move quickly between markets or countries to maximize short-term profits.

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Definition

C1Economics and Finance

(technical, academic)Funds that are rapidly transferred between financial institutions or countries to exploit short-term interest rate differences or other financial opportunities.

Example

  • Investors often move hot money to countries with higher interest rates to gain better returns.
  • The sudden influx of hot money can destabilize local economies.

B2Slang

(informal)Currency that has been stolen.

Example

  • The police are on the lookout for the hot money stolen during the bank heist.

B2Gambling

(informal)The largest amount of money bet on a particular race or event.

Example

  • The hot money was on the favorite horse, which everyone expected to win.

Similar

Terms that have similar or relatively close meanings to "hot money":

hot propertybig moneynew moneysmart moneyhard moneyhot handplay moneydead moneycash moneysoft moneymad moneyhot topeasy moneyhot buttonhot onfunny moneyfront moneyhot tickethot streaksound moneyhot stuffdirty moneyplace moneypaper moneyblack moneyhot shophot bedold money