bucket shop

Fraudulent trading firm

A bucket shop is a fraudulent brokerage that takes client orders but never actually executes trades on an exchange—instead gambling against customers by pocketing profits when their trades lose.

The term now applies broadly to any disreputable or fly-by-night operation, especially in travel: We booked through some bucket shop and the tickets never arrived.

In British usage, a bucket shop may simply be a discount travel agency without the fraudulent connotation.

fraudulent-brokerage

boiler room

Heating system enclosure

penny stocksVery low-priced shares
cold callingUnsolicited sales contact
churningAgitated circular motion

unregistered · unlicensed · wire fraud · securities fraud · manipulation · mark-up · tout · swindle · victims · complaints

discount-travel

consolidator

One who merges things

cheap flightsInexpensive air travel tickets
travel agencyBusiness arranging trips
last-minute dealsDiscounts offered near deadlines

airline tickets · wholesale · package holidays · charter flights · tour operator · no-frills · seat sales · commission · rebooking

Categories

financial crimesbank fraud, wire fraud, securities fraud, tax fraud, insurance fraud
financial fraudsecurities fraud, bank fraud, accounting fraud, defalcation, embezzler
scamsscam, scams, fraud, frauds, swindle
market fraudmarket manipulation, securities fraud, insider trading, pump and dump, spoofing
vice densbrothel, opium den, speakeasy, gambling den, crack house

Opposites

legitimacy/regulatory status

bucket shopNYSE

Largest equities market

NASDAQ · authorized dealer · stock exchange · clearing house · clearinghouse

reputation/prestige

bucket shopGoldman Sachs

Investment banking powerhouse

Morgan Stanley · Merrill Lynch

business ethics

bucket shopfiduciary

Agent bound by loyalty

Family

bucket, buckets, bucketed, bucketing, bucketful, shop, shops, shopped, shopping

Familiarity: Top 500,000
Profile: Timeless · Rated G