Par - The nominal- or face value of a security. A bond selling at par is worth the same dollar amount as when issued or when redeemed at maturity.
Parallel Account - A separate account established at the trading bank.
Pay Order - A document which instructs a bank to pay a certain sum to a third party. Such orders are normally acknowledged by the bank which provides a guarantee that the payment will be made.
Portfolio - A collection of securities held by an investor.
Principal - The party that controls the funds and seeks a secure high-yield investment.
Private Placement - An issue that is offered to a single or a few investors as opposed to being publicly offered.
Private Trustee Company - A company incorporated in certain offshore jurisdictions, such as Bermuda, to act as a trustee for a limited class or group of trusts. Private trustee companies are not permitted to offer trustee services to the public generally.
Privatization - Conversion of a state run company into a public company, often accompanied by a sale of its shares to the general public.
Proof of Funds (POF) - A document by which the principal's bank states that the principal owns the funds required for the transaction. Usually, proof of funds can also be delivered in the form of a recent bank-, security- or custody statement. A generic document can be found in the "How to contact us" page of this site.
Proper Law - The body of law which governs the validity and interpretation of a contract or trust deed.
Protector - A person appointed by the settlor/grantor of a trust, who has limited powers to control the trustee. The protector usually has the right to change trustees.
Provider - A wealthy private party buying guarantees from the issuing banks, reselling them through banks/brokers. Other designation: commitment holder.
Purpose Trust - A trust created for an express purpose without any individually ascertained or ascertainable beneficiaries. A purpose trust is typically used in circumstances where the trust is of philanthropic nature.