The removal of a middleman from a transaction. This term was used in the 1970s when relatively wealthy investors realized they could invest their funds directly in money market funds to earn higher interest rates and cut their bank out from the transaction. Disinter-mediation is also used in other industries where middlemen can be eliminated. With the advent of the Internet, disintermediation can also occur when a company selling its product online bypasses traditional distribution channels and directly links with buyers and suppliers.