Found: 33 Items
In the money
Warrants or options with an exercise price lower than the market price.
A fund that concentrates on buying stocks that pay high dividends.
The tax payable on your income, including dividends relating to your shareholdings.
The calculation of a sample of prices used to measure the movement of a market or a market sector.
Individual Savings Accounts
These are tax-efficient Individual Savings Accounts, introduced on 6th April 1999 as a successor to PEPs. Such accounts are free of both capital gains tax and income tax. Any investor over 18 who is resident, or ordinarily resident, in the UK for tax purposes can invest up to £7,000 every tax year until 2006 into a Maxi Equity ISA and £3,000 into a Mini Equity ISA. These replace PEPs, which can no longer be subscribed to, but are still free of CGT. The management of PEPs and ISAs can be transferred to different Plan Managers without losing their tax advantages.
The persistent and appreciable rise in the prices of goods and services.
Rate of price changes usually calculated on a monthly or annual basis.
The risk that rising prices of goods and services over time will decrease the value of the return on investments. Also known as ‘purchasing-power risk’ since it refers to increased prices of goods and services and a decreased value of cash.
The planning, budgeting, manipulating, and controlling of information throughout its life cycle.
The organized collection, processing, transmission, and dissemination of information in accordance with defined procedures, whether automated or manual. Information systems include non-financial, financial, and mixed systems.
The hardware and software operated by an organization, regardless of the technology involved, whether computers, telecommunications, or other.
The tax payable on the estate of a deceased person.
The charge levied by the managers of a unit trust or mutual fund when a new investor joins the scheme.
Initial Public Offering
The first public issuance of stock from a company that has not been publicly traded before.
A mutual fund, bank, pension fund, insurance company, university or other institution. Institutional investors usually invest large volumes in the securities markets.
A promise of compensation for specific potential future losses in exchange for a periodic payment.
Assets that do not have a physical existence. Includes goodwill, patents, copyrights, tradmarks, formulae, capitalised advertising costs, etc.
Integrated Risk Management
The monitoring of credit, market and liquidity risk simultaneously.
The price one pays for borrowing money. The rate of interest charged on a loan will vary according to the level of base rates and, if one takes a repayment loan - the length of time over which one is planning to repay the loan.
A dividend that is declared and paid before annual earnings are determined.
A report that presents a corporation's income statement for the period and, sometimes the balance sheet.
Individual or entity that is sanctioned to make investment decisions for others--also called "financial intermediary". An intermediary is used because they are investment specialists that usually can obtain higher returns than the average investor. Examples of some intermediaries are brokerage firms, mutual funds, banks, and insurance companies.
To put money at risk for the purpose of making a profit.
The use of money through various vehicles to make more income or increase capital, or both. Also, an item of value purchased for income or capital appreciation.
Individual or organization who provides investment advice for a fee.
A financial institution that handles corporate financing and acts as an underwriter for new issues of stocks and bonds. It is usually the middleman between the issuer of securities and the investor. Also called underwriter.
A company or trust, such as unit investment trusts and management companies, engaged in the business of investing the pooled funds of small investors in securities appropriate for stated investment objectives.
A mechanism for aggregating a number of different investors' monies into a legal vehicle which then invests into a range of stocks, bonds and other securities. The main benefits of such schemes are, due to their size, their ability to invest in a far wider range of securities than one investor could typically invest in. This wider range of investments (or diversification) reduces the scheme's exposure to any one investment compared to an individual investor; this often reduces the overall risk (or volatility) of the scheme.
Investment Management Regulatory Organisation ; The
The Investment Management Regulatory Organisation was the regulator for investment managers - including investment and unit trust managers (recently replaced by The Financial Services Authority).
A set of securities or funds that have been chosen by an investor.
Strategy used to allocate funds among such vehicles as stocks, bonds, cash equivalents and commodities.
Investment Trust Company
A public limited company that uses the funds provided by its shareholders to invest in other companies. It should be noted that there are specific and slightly different definitions of an investment company for the following purposes: (i) taxation; and (ii) company law, in particular the Companies Act 1985.
An entity that puts a financial asset in the marketplace.