1) The practice by a broker of encouraging an investor to change investments frequently in order to earn excessive commissions.
2) The practice by a bank, building society, insurance broker, etc. , of encouraging a householder with an endowment mortgage to surrender the policy and to take out a new one when seeking to increase a mortgage or to raise extra funds, instead of topping up the existing mortgage. The purpose is to increase charges and commissions at the expense of the policyholder.
3) A government policy of paying a benefit to a wide category of persons and taxing it so that those paying little or no taxes receive it while the well-off return it through the tax system. There have been suggestions that a higher child benefit is suitable for churning.

Big dictionary of business and management. 2014.

Look at other dictionaries:

  • churning — n. Excessive and unnecessary trades of stock by a broker in order to increase his or her commission. The Essential Law Dictionary. Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy Hackney Blackwell. 2008. churning …   Law dictionary

  • churning — occurs when a broker, exercising control over the volume and frequency of trades, abuses his customer s confidence for personal gain by initiating transactions that are excessive in view of the character of account and the customer s objectives… …   Black's law dictionary

  • Churning — Churn ing, n. 1. The act of one who churns. [1913 Webster] 2. The quantity of butter made at one operation. [1913 Webster] …   The Collaborative International Dictionary of English

  • Churning — Excessive trading of a client s account in order to increase the broker s commissions. The New York Times Financial Glossary * * * churning churn‧ing [ˈtʆɜːnɪŋ ǁ ɜːr ] noun [uncountable] informal FINANCE when a stockbroker buys and sells… …   Financial and business terms

  • churning — When a broker engages in excessive trading to derive a profit from commissions while ignoring his client s best interests. The CENTER ONLINE Futures Glossary The process of unnecessary purchases and sales in customers accounts for the purpose of… …   Financial and business terms

  • churning — / tʃɜ:nɪŋ/ noun 1. a practice employed by stockbrokers, where they buy and sell on a client’s discretionary account in order to earn their commission (the deals are frequently of no advantage to the client) 2. a practice employed by insurance… …   Dictionary of banking and finance

  • Churning — Unter Churning (engl. „Provisionsschneiderei“, „Gaunerei“; kommt von to churn „Buttern“, „Umrühren“) wird im Finanzbereich das häufige Umschichten eines Depots durch einen Vermögensverwalter oder Broker verstanden. Dadurch verschafft sich dieser… …   Deutsch Wikipedia

  • churning — [[t]tʃɜ͟ː(r)nɪŋ[/t]] ADJ: ADJ n Churning water is moving about violently. [LITERARY] ...anything to take our minds off that gap and the brown, churning water below. Syn: swirling …   English dictionary

  • Churning — Churn Churn, v. t. [imp. & p. p. {Churned} (ch[^u]rnd); p. pr. & vb. n. {Churning}.] [OE. chernen, AS. cernan; akin to LG. karnen, G. kernen, D. karnen, Dan. kierne, Sw. k[ a]rna, and also to E. corn, kernel, the meaning coming from the idea of… …   The Collaborative International Dictionary of English

  • churning — suplakimas statusas T sritis chemija apibrėžtis Indo su medžiaga smarkus purtymas. atitikmenys: angl. agitation; churning; shaking; shakingup rus. взбалтывание …   Chemijos terminų aiškinamasis žodynas

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.