Dictionary of Finance and Investment Terms: pay up
pay up
- situation when an investor who wants to buy a stock at a particular price hesitates and the stock begins to rise. Instead of letting the stock go, he "pays up" to buy the shares at the higher prevailing price.
- when an investor buys shares in a high quality company at what is felt to be a high price. Such an investor will say "I realize that I am paying up for this stock, but it is worth it because it is such a fine company."