Glossary I

Glossary I

Illiquidity premium

Additional return investors demand for investing in illiquid assets.

  • Bulge Bracket Vs. Boutique: Understanding Bank Types (Decoded)
  • Industry expertise

    A deep understanding of a specific industry that allows for informed investment decisions.

  • Bulge Bracket Vs. Boutique: Understanding Bank Types (Decoded)
  • Industry research

    The process of gathering and analyzing data about a specific industry in order to make informed investment decisions.

  • Underwriting Vs. Advisory: Investment Banking Services (Unpacked)
  • Industry trends

    Patterns and changes in the performance of a particular industry.

  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Informed decisions

    Investment decisions made based on thorough research and analysis.

  • Bulge Bracket Vs. Boutique: Understanding Bank Types (Decoded)
  • Initial Offering

    The first sale of a security to the public.

  • Primary Issuance Vs. Secondary Trading: Market Phases (Defined)
  • Initial public offering (IPO)

    The process of a private company becoming a publicly traded company by issuing shares to the public.

  • Primary Vs. Secondary Markets: Investment Banking (Defined)
  • Bulge Bracket Vs. Boutique: Understanding Bank Types (Decoded)
  • IPO Vs. Direct Listing: Understanding Public Offerings (Demystified)
  • Equity Vs. Debt Financing: Investment Banking (Explained)
  • Underwriting Vs. Advisory: Investment Banking Services (Unpacked)
  • Buy Side Vs. Sell Side: Investment Banking (Clarified)
  • Commercial Vs. Investment Banking: Functions and Features (Discussed)
  • Leveraged Buyout Vs. Management Buyout: Deal Types (Explained)
  • Primary Issuance Vs. Secondary Trading: Market Phases (Defined)
  • Initial Trading Day

    The first day that a newly issued security is available for trading on a public exchange.

  • IPO Vs. Direct Listing: Understanding Public Offerings (Demystified)
  • Insider trading

    The illegal practice of using non-public information to make investment decisions.

  • IPO Vs. Direct Listing: Understanding Public Offerings (Demystified)
  • Institutional investors

    Large organizations such as pension funds and mutual funds that invest large amounts of money in the market.

  • Asset Management Vs. Investment Banking: Roles (Distinct)
  • Buy Side Vs. Sell Side: Investment Banking (Clarified)
  • Insurance companies

    Financial institutions that provide insurance policies to individuals and businesses.

  • Private Equity Vs. Venture Capital: Investment (Comparison)
  • Integration planning

    The process of developing a plan for integrating two or more companies or business units.

  • Mergers Vs. Acquisitions: Demystifying Corporate Actions (Guide)
  • Buy Side Vs. Sell Side: Investment Banking (Clarified)
  • Integration process

    The process of combining two or more companies or business units into a single entity.

  • Mergers Vs. Acquisitions: Demystifying Corporate Actions (Guide)
  • Intellectual property evaluation

    The process of assessing the value of a company’s intellectual property assets.

  • Buy Side Vs. Sell Side: Investment Banking (Clarified)
  • Mergers Vs. Acquisitions: Demystifying Corporate Actions (Guide)
  • Interest coverage ratio

    A measure of a company’s ability to pay interest on its debt.

  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Interest payments

    The payments made by borrowers to lenders for the use of borrowed funds.

  • Equity Vs. Debt Financing: Investment Banking (Explained)
  • Interest rate risk

    The risk that changes in interest rates will affect the value of an investment.

  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Private Equity Vs. Venture Capital: Investment (Comparison)
  • Interest rates

    The cost of borrowing money or the return on lending money.

  • Commercial Vs. Investment Banking: Functions and Features (Discussed)
  • Structured Products Vs. Derivatives: Complex Investments (Demystified)
  • Internal Rate of Return (IRR)

    A measure of an investment’s profitability that takes into account the time value of money.

  • Private Equity Vs. Venture Capital: Investment (Comparison)
  • Investment Bankers

    Professionals who work in investment banking and provide financial advice and services to clients.

  • Leveraged Buyout Vs. Management Buyout: Deal Types (Explained)
  • Investment banking

    The business of providing financial services to corporations, governments, and other institutions.

  • Asset Management Vs. Investment Banking: Roles (Distinct)
  • Buy Side Vs. Sell Side: Investment Banking (Clarified)
  • Equity Vs. Debt Financing: Investment Banking (Explained)
  • Bulge Bracket Vs. Boutique: Understanding Bank Types (Decoded)
  • Commercial Vs. Investment Banking: Functions and Features (Discussed)
  • Leveraged Buyout Vs. Management Buyout: Deal Types (Explained)
  • Primary Vs. Secondary Markets: Investment Banking (Defined)
  • Investment banking fees

    The fees charged by investment banks for their services.

  • Leveraged Buyout Vs. Management Buyout: Deal Types (Explained)
  • Primary Issuance Vs. Secondary Trading: Market Phases (Defined)
  • Investment banks

    Financial institutions that provide services such as underwriting, mergers and acquisitions, and securities trading.

  • Private Equity Vs. Venture Capital: Investment (Comparison)
  • Investment decisions

    The process of choosing which investments to make based on various factors such as risk, return, and market conditions.

  • Underwriting Vs. Advisory: Investment Banking Services (Unpacked)
  • Investment grade bonds

    Bonds issued by companies with good credit ratings.

  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Investment-grade corporate debt index

    A benchmark index that tracks the performance of investment-grade corporate bonds.

  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Investment objectives

    Goals that investors aim to achieve through their investments.

  • Structured Products Vs. Derivatives: Complex Investments (Demystified)
  • Investment risk

    The potential for loss or negative returns on an investment.

  • IPO Vs. Direct Listing: Understanding Public Offerings (Demystified)
  • Investment strategies for fixed-income securities

    Techniques for investing in bonds and other fixed-income securities.

  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Investment strategy

    A plan for how to allocate funds in order to achieve specific investment goals.

  • Bulge Bracket Vs. Boutique: Understanding Bank Types (Decoded)
  • Investment Grade Vs. High Yield Bonds: Credit Ratings (Explained)
  • Investment vehicles

    Various types of investment options, such as stocks, bonds, and mutual funds.

  • Structured Products Vs. Derivatives: Complex Investments (Demystified)
  • Investor confidence

    The level of trust and belief that investors have in a company or the market as a whole.

  • Primary Vs. Secondary Markets: Investment Banking (Defined)
  • Investor Participation

    The involvement of investors in the buying and selling of securities.

  • Primary Issuance Vs. Secondary Trading: Market Phases (Defined)
  • Investor relations

    The communication and interaction between a company and its investors.

  • Asset Management Vs. Investment Banking: Roles (Distinct)
  • Underwriting Vs. Advisory: Investment Banking Services (Unpacked)
  • Investor reliance on credit ratings

    The degree to which investors rely on credit ratings to make investment decisions.

  • Equity Vs. Debt Financing: Investment Banking (Explained)
  • Investor returns

    The return on investment that investors receive from a particular investment.

  • Leveraged Buyout Vs. Management Buyout: Deal Types (Explained)
  • IPO (Initial Public Offering)

    First sale of stock by a company to the public.

  • Primary Issuance Vs. Secondary Trading: Market Phases (Defined)
  • IPO Vs. Direct Listing: Understanding Public Offerings (Demystified)
  • Issuer-pays model

    A model in which the company issuing securities pays the investment bank for underwriting services.

  • Equity Vs. Debt Financing: Investment Banking (Explained)