International Diversification

International Diversification Risk management and reduction method based on spreading investments across different countries. In different nations the economic cycles follow different patterns and cycles, thus the variability of returns from the portfolio is minimized. … [Read more...]

International Finance Subsidiary

International Finance Subsidiary Subsidiaries created with the primary role of issuing debentures in foreign markets, and carrying out investments with these funds there. The interest payable is received by foreign investors who are outside the purview of U.S. withholding tax. … [Read more...]

International Fisher Effect

International Fisher Effect Theory that the difference between interest rates in two different countries is an unbiased indicator of the spot rate changes that will occur in future. … [Read more...]

International Fund

International Fund Mutual funds that are limited to investing only in assets and securities out of the U.S. … [Read more...]

International Market

International Market Related: external market. Platform for securities trading, where they are issued in many countries simultaneously. … [Read more...]

International Monetary Fund

International Monetary Fund Organization established in 1944 to oversee and supervise exchange arrangements of countries that are its members and to aid with short term balance of payments mismatches by making foreign currency loans to them. … [Read more...]

International Monetary Market (IMM)

International Monetary Market (IMM) Related to Chicago Mercantile Exchange (CME). A CME division set up in 1972 to deal with financial futures transactions. … [Read more...]

International Portfolio

International Portfolio Grouping of assets from foreign markets rather than domestic ones. The international exposure lets investors benefit from emerging and overseas international markets. … [Read more...]

Intramarket Sector Spread

Intramarket Sector Spread In a given market sector, the spread between two issues having the same maturity terms. For example, the interest rate difference between an industrial corporate bond and utility corporate bond with a 5 year maturity. … [Read more...]

Intrinsic Value of an Option

Intrinsic Value of an Option Related to in-the-money. The sum by which any option is said to be in-the-money. The intrinsic value of options that are not in-the-money is zero. … [Read more...]

Intrinsic Value of a Firm

Intrinsic Value of a Firm Present value of future net cash flows of a firm discounted by the required return rate. … [Read more...]

Inventory

Inventory -For security firms: dealer or broker purchased securities bought and held for resale. -For companies: production necessities like raw materials, items for sale or items under production. These can be separately evaluated by several different methods like current market … [Read more...]

Inventory Loan

Inventory Loan Short-term loan that is secured and used to buy inventory. Three basic forms exist: blanket inventory lien, field warehousing financing and a trust receipt. … [Read more...]

Inventory Turnover

Inventory Turnover Comparison of ratio of yearly sales to average inventory expressed as a ratio. Measures speed at which inventory is produced and marketed. Reduced turnover indicates poor sales or excess stocks. … [Read more...]

Inverse Floating Rate Note

Inverse Floating Rate Note Securities with variable rates that show a marked increase in coupon rates in coordination with decreasing benchmark interest rates. … [Read more...]

Investment Analysts

Investment Analysts Related: financial analysts. Persons who analyze various factors that may affect investments with a view to aiding investment decisions. … [Read more...]

Investment Bank

Investment Bank Refer: underwriter. Intermediaries that are financial institutions that aid in securities sale, mergers and other corporate activities. These entities perform the role of brokers to institutional and individual clients and also trade with their own funds. … [Read more...]

Investment Climate

Investment Climate Economic conditions prevailing at a given time that influence the financial markets. … [Read more...]

Investment Decisions

Investment Decisions Resolutions taken with respect to the asset side of a business’s balance sheet. For example, a new product line launch. … [Read more...]

Investment Grade Bonds

Investment Grade Bonds Related to High-yield bond. Bonds that have a rating among the top four categories as ranked by credit rating companies like S&P and Moody’s. For example, the bonds issued a BBB or higher rating by S&P are investment grade bonds. … [Read more...]