Glossary I
Illiquidity premium
Additional return investors demand for investing in illiquid assets.
Industry expertise
A deep understanding of a specific industry that allows for informed investment decisions.
Industry research
The process of gathering and analyzing data about a specific industry in order to make informed investment decisions.
Industry trends
Patterns and changes in the performance of a particular industry.
Informed decisions
Investment decisions made based on thorough research and analysis.
Initial Offering
The first sale of a security to the public.
Initial public offering (IPO)
The process of a private company becoming a publicly traded company by issuing shares to the public.
Initial Trading Day
The first day that a newly issued security is available for trading on a public exchange.
Insider trading
The illegal practice of using non-public information to make investment decisions.
Institutional investors
Large organizations such as pension funds and mutual funds that invest large amounts of money in the market.
Insurance companies
Financial institutions that provide insurance policies to individuals and businesses.
Integration planning
The process of developing a plan for integrating two or more companies or business units.
Integration process
The process of combining two or more companies or business units into a single entity.
Intellectual property evaluation
The process of assessing the value of a company’s intellectual property assets.
Interest coverage ratio
A measure of a company’s ability to pay interest on its debt.
Interest payments
The payments made by borrowers to lenders for the use of borrowed funds.
Interest rate risk
The risk that changes in interest rates will affect the value of an investment.
Interest rates
The cost of borrowing money or the return on lending money.
Internal Rate of Return (IRR)
A measure of an investment’s profitability that takes into account the time value of money.
Investment Bankers
Professionals who work in investment banking and provide financial advice and services to clients.
Investment banking
The business of providing financial services to corporations, governments, and other institutions.
Investment banking fees
The fees charged by investment banks for their services.
Investment banks
Financial institutions that provide services such as underwriting, mergers and acquisitions, and securities trading.
Investment decisions
The process of choosing which investments to make based on various factors such as risk, return, and market conditions.
Investment grade bonds
Bonds issued by companies with good credit ratings.
Investment-grade corporate debt index
A benchmark index that tracks the performance of investment-grade corporate bonds.
Investment objectives
Goals that investors aim to achieve through their investments.
Investment risk
The potential for loss or negative returns on an investment.
Investment strategies for fixed-income securities
Techniques for investing in bonds and other fixed-income securities.
Investment strategy
A plan for how to allocate funds in order to achieve specific investment goals.
Investment vehicles
Various types of investment options, such as stocks, bonds, and mutual funds.
Investor confidence
The level of trust and belief that investors have in a company or the market as a whole.
Investor Participation
The involvement of investors in the buying and selling of securities.
Investor relations
The communication and interaction between a company and its investors.
Investor reliance on credit ratings
The degree to which investors rely on credit ratings to make investment decisions.
Investor returns
The return on investment that investors receive from a particular investment.
IPO (Initial Public Offering)
First sale of stock by a company to the public.
Issuer-pays model
A model in which the company issuing securities pays the investment bank for underwriting services.