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Infrastructure
Infrastructure is the basic physical systems of a business or nation. Transportation, communication, sewage, water and electric systems are all examples of infrastructure. These systems tend to be high-cost investments, however, they are vital to a country’s economic development and prosperity. Infrastructure projects may be funded publicly, privately or through public-private partnerships. Sometimes private companies will choose to invest in a country’s infrastructure development as part of a business... -
Initial Public Offering
When a company reaches a certain stage in its growth, it may decide to issue stock, or go public, with an initial public offering (IPO). The goal may be to raise capital, to provide liquidity for the existing shareholders, or a number of other reasons. Any company planning an IPO must register its offering with the Securities and Exchange Commission (SEC). In most cases, the company works with an... -
Insider Buying
Insider Buying is the purchase of shares of stock in a corporation by someone who is employed by the company. Insider buying should not be confused with insider trading. Insider trading refers to corporate insiders trading on private information, an activity that is illegal. However, insider buying is based on public information in a situation where insiders believe that their stock is undervalued. (Source: Investopedia) -
Insider Trading
Transactions in corporate equity securities by corporate officers and board members who are in position to know of relevant developments and plans that have not yet made public. Those in this position must carefully adhere to special regulations when purchasing stock in their companies to avoid penalties. On the other hand, insider trading typically occurs when employees believe that the public is not valuing their stocks properly. Because insider... -
International Bond ETFs
International bond funds invest in bonds issued by foreign governments or foreign companies in a variety of markets, industries, and currencies. They allow investors to have an easy way to gain a diverse exposure to foreign securities. (Source: InvestingAnswers, Inc.) -
Intraday
Another way of saying “within the day. (Source: Investopedia) -
Inverse ETF
An inverse ETF, also known as a “short ETF” or “bear ETF,” is an exchange-traded fund designed to return the exact opposite performance of a certain index or benchmark. (Source: Motley Fool) -
Investment Company Act of 1940
Created in 1940 through an act of Congress, this piece of legislation clearly defines the responsibilities and limitations placed on open-end mutual funds, unit investment trusts and closed-end funds that offer investment products to the public. The Investment Company Act of 1940 grew out of the stock market crash of 1929 as an attempt to stabilize financial markets. It is enforced and regulated by the Securities and Exchange Commission.... -
Investment Fund
A supply of capital belonging to numerous investors that is used to collectively purchase securities while each investor retains ownership and control of his or her own shares. An investment fund provides a broader selection of investment opportunities, greater management expertise and lower investment fees than investors might be able to obtain on their own. Types of investment funds include mutual funds, exchange traded funds, money market funds and... -
Investment Grade
A rating that indicates that a municipal or corporate bond has a relatively low risk of default. Bond rating firms, such as Standard & Poor’s, use different designations consisting of upper- and lower-case letters ‘A’ and ‘B’ to identify a bond’s credit quality rating. ‘AAA’ and ‘AA’ (high credit quality) and ‘A’ and ‘BBB’ (medium credit quality) are considered investment grade. Credit ratings for bonds below these designations (‘BB’,...
