smart money

smart moneynoun

• 1

  businessfinanceExperienced, well-informed investors, gamblers, etc. considered as a group.

  • First, we will try to understand the market using a simplified model focusing on the psychological perspective of two major groups: the smart money players who are assumed to be driving the market, and the general, uninformed public.
  • If the smart money is so smart, why did it tell you what it's doing? If you're smart enough to know what the smart money thinks, then why aren't you keeping it a secret so you can cash in on it all by yourself?
• 2

  The money invested or bet by such people; by extension, the opinions of such people.

  • The smart money is on a half percent cut in the basic bank lending rates before the end of the week.
  • Simple game theory tells us that a process of backward induction should, really, at some point, induce the smart money to get out. And were that to happen, investors really should be prepared to lose everything.
• 3

  Money paid by a person to buy himself off from some unpleasant engagement or some painful situation.

• 4

  historicalgovernmentmilitarypoliticsMoney allowed to soldiers or sailors, in the English service, for wounds and injuries received; also, a sum paid by a recruit, previous to being sworn in, to procure his release from service.

  • The reader may remember that Mr Allworthy gave Tom Jones a little horse, as a kind of smart-money for the punishment which he imagined he had suffered innocently.
• 5

  lawVindictive or exemplary damages; damages beyond a full compensation for the actual injury done.

  • September 30 1893, Charles Vane-Tempest-Stewart, 6th Marquess of Londonderry, "Empolyers' Liability Bill", quoted in The Parliamentary Debates it made was paid by employers to workmen employers liable for injuries resulting as smart money