Direct participation program (or direct participation plan, abbreviated DPP) is a financial security that enables investors to participate in a business venture's cash flow

Cash flow

Cash flow is the movement of money into or out of a business, project, or financial product. It is usually measured during a specified, finite period of time. Measurement of cash flow can be used for calculating other parameters that give information on a company's value and situation.Cash flow...

 and taxation benefits. Chiefly used in the past as a tax shelter

Tax shelter

Tax shelters are any method of reducing taxable income resulting in a reduction of the payments to tax collecting entities, including state and federal governments...

, recent tax regulations have reduced its effectiveness in this respect.

DPP securities are traded on the OTC Bulletin Board

OTC Bulletin Board

The OTC Bulletin Board or OTCBB is an interdealer electronic quotation system in the United States that displays real-time quotes, last-sale prices, and volume information for many over-the-counter equity securities that are not listed on the NASDAQ stock exchange or a national securities exchange...

since May 1997.

Direct participation programs are most commonly formed to invest in real estate, energy and equipment leasing projects.