|In the Black: Making money
|In the Red: Losing money
|Index: A stock market or
other securities index is a yardstick measure to
compare the price movement from moment to moment.
The most well known is the Dow Jones Industrial
Index, usually just called the Dow.
|Inflation: When things cost
more than they used to. The declining value of
money due to prices going up.
|Initial Public Offering (IPO):
When a corporation sells shares of stock to the
public for the first time.
|Injunction: A court order
barring a defendant from doing something that
would harm the plaintiff. If the defendant ignores
the order, s/he may face fines, penalties, or
|Installment Contract: A
purchase agreement that calls for regular set
payments that include both principal and interest.
|Insurance Premium: The
regular payment for insurance.
|Insured: The person covered
under an insurance policy.
|Insurer: The insurance
|Interest: The price paid
for the use of money. A borrower pays interest, a
lender earns interest. A bank pays you interest on
your savings account because you are lending them
|Insider Trading: Illegal
trading of securities based on confidential
information from internal company sources. Since
such information would not be generally available
to the public, the trader has an unfair advantage.
Non-physical company assets such as patents,
technical know-how, and trademarks.
|Internal rate of return (IRR):
The discount rate at which an investment has a
net. present value of $0.
|Inventory Turnover (turns):
The rate at which a firm's inventory is totally
depleted over a period of time, usually a year. A
company's average inventory divided by its annual
sales will give you its inventory turnover.
|Investment Bank: A
brokerage firm that sells securities for
corporations and clients. They dispense merger
advice, employ analysts, and underwrite IPO's.
Pension Funds, Universities (did you know that
they have endowment funds with billions of
dollars?), and cash-rich foundations and companies
that invest big dollars.
Back to TOP