Inventory valuation adjustment (IVA)An adjustment made in the national income and product accounts (NIPAs) to corporate profits and to proprietors' income in order to remove inventory…
investment adviserAny person who, for compensation, engages in the business of advising others, either directly or through publications or writings, as to the value of…
investment adviser agentAn investment adviser agent includes any individual employed, appointed or authorized by an investment adviser 1) to solicit business on a compensated…
Investment bankAn investment bank is a financial institution that helps companies take new bond or stock issues to market, usually acting as the intermediary between the…
Investment ClubIndividual investors often join together, either formally or informally, to form investment clubs.
Investment CompanyA corporation or trust whose primary purpose is to invest the funds of its shareholders.
investment fundA term generally interchangeable with "mutual fund."
Investment gradeWhen a bond is rated investment grade, its issuer is considered able to meet its obligations, exposing bondholders to minimal default risk.
Investment horizonYour investment horizon is the point in time when you hope to achieve a particular investment goal.
Investment IncomeThe equity dividends, bond interest, and/or cash interest paid on an investment.
Investment objectiveAn investment objective is a financial goal that helps determine the type of investments you make.
Investment Propertya property not considered to be a primary residence that is purchased in order to generate income, profit from appreciation, or to take advantage of…
Investment trustSame or similar to "Real Estate Investment Trust." See also "Real Estate Investment Trust."
InvestorAny person or institution that invests in mortgages or mortgage-backed securities.
IonicOne of the five classical orders, characterized by capitals with spiral elements called “volutes,” a fasciated entablature, continuous frieze, dentils…
IRA rolloverIf you move assets from an existing individual retirement account (IRA) or an employer sponsored retirement plan to an IRA, you've completed an IRA…
IRC Section 401(a)Tax code section authorizing a qualified retirement plan to be operated and supported by an employer and to provide retirement benefits.
Irrevocable trustAn irrevocable trust is a legal agreement whose terms cannot be changed by the creator or grantor who establishes the trust without the consent of the…
IRS e-fileRefers to the preparation and transmission of tax return information to the IRS using telephone lines or a computer with a modem or Internet access.
IssueWhen a corporation offers a stock or bond for sale, or a government offers a bond, the security is known as an issue, and the company or government is the…
issuerIssuer means any person who issues or proposes to issue any security. Corporations, for example, may issue stock to the public, limited partnerships may…
JambThe side parts of a window frame or window opening, as distinct from head and sill.
January EffectEach year, the stock market tends to increase slightly in value between December 31 and the end of the first week of January.
Jigsaw CarvingWooden ornament cut with a thin narrow saw blade.
Joint AccountAn account owned by two or more persons. Either party can conduct transactions separately or together as set forth in the deposit account contract.
Joint Tenancy (with Rights of Survivorship)Two or more owners share equal ownership and rights to the property. If a joint owner dies, his or her share of the property passes to the other owners…
Joint ventureAn agreement between two or more parties who invest in a single business or property; similar to a limited partnership.
JoistOne of a series of parallel timber beams used to support floor and ceiling loads, and supported in turn by larger beams, girders, or bearing walls; the…
JudgmentA legal decision; when requiring debt repayment, a judgment may include a property lien that secures the creditor's claim by providing a collateral source.
Judgment LienA lien on the property of a debtor resulting from the decree of a court.
JumboA loan that exceeds the statutory size limit eligible for purchase or securitization by either FNMA or FHLMC.
Jumbo CDJumbo CDs are large-denomination certificates of deposit with balances of at least $100,000, and sometimes $1 million or more.
Jumbo LoanA loan that exceeds the mortgage amount eligible for purchase by Fannie Mae or Freddie Mac. Also called "nonconforming loan."
Junior MortgageA loan that is subordinate to the primary loan or first-lien mortgage loan, such as a second or third mortgage.
Junior securityIn the world of bonds, the term junior means having less claim to repayment. If you own a junior security and the issuing company goes out of business…
Junk bondJunk bonds carry a higher-than-average risk of default, which means that the bond issuer may not be able to meet interest payments or repay the loan when…
Justified complaintA complaint that exposes an apparent violation of a policy provision, contract provision, rule, or statute; or which indicates a practice or service that…
Keogh FundsA tax-deferred retirement-savings plan for small business owners or self-employed individuals who have earned income from their trade or business.
Keogh planA group of qualified retirement plans, including profit sharing and money purchase defined contribution plans and a defined benefit plan, is available to…
keyA block, often used in a series, which projects beyond the edge of the enframement of an opening and is joined with the surrounding masonry.
key lotReal estate deemed highly valuable because of its location.
KeystoneThe central wedge-shaped member of a masonry arch; also used as a decorative element on arches in wood structures.
KitingWriting a check in an amount that will overdraw the account but making up the deficiency by depositing another check on another bank.
Labor Condition Application (LCA)(LCA)Labor condition application (LCA), Form ETA 9035/9035E is a document that a prospective H-1B employer files with OFLC when it seeks to employ nonimmigrant…
LadderingLaddering is an investment strategy that calls for establishing a pattern of rolling maturity dates for a portfolio of fixed-income investments.
Land contractSame or similar to "contract to purchase." See also "contract to purchase" under "mortgage."
Land rentThe rent paid on leased land; same as "ground rent."
Landmarks LawRefers to Section 3020 of the New York City Charter and Chapter 3 of Title 25 of the Administrative Code of the City of New York.
Landscape improvementA physical betterment of real property or any part thereof, consisting of natural or artificial landscaping, including but not limited to grade, terrace…
LapseTermination of a policy due to non-payment of premiums.
Lapsed PolicyA policy that has terminated for non-payment of premiums.
Large entityAny entity with gross receipts greater than $10 million during the year the reportable transaction occurs or in the preceding taxable year.
Laspeyres price indexA fixed-weighted price index that is computed as the sum of base-period quantities valued at current-period prices divided by the sum of base-period…
Last trading dayThe last trading day is the final day on which an order to buy or sell an options contract or futures contract can be executed.
Late ChargeThe fee charged for delinquent payment on an installment loan, usually expressed as a percentage of the loan balance or payment.
Late paymentA late payment is your failure to make at least the minimum payment so that it reaches us by or before the time and due date on your bill.
Late Payment ChargesThe penalty the homeowner must pay when a mortgage payment is made after the due date grace period.
Late-payment feeA fee charged if your payment is received after the due date.
LatticeworkThin strips of wood arranged in a netlike grid pattern, often set diagonally.
Lay offLay off of a U.S. worker means that the employer has caused the worker's loss of employment, other than through: discharge due to inadequate performance…
Lead underwriterWhen a company wants to raise capital by selling securities to investors, it partners with an investment bank, known as the lead underwriter.
LeadeA horizontal or vertical cylinder, usually made of metal, which carries water from the gutter to the ground.
Leaded windowA window composed of small panes, usually diamond-shaped or rectangular, held in place by narrow strips of cast lead.
LeaseA contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent).
Lease Purchase (Lease Option)Assists low to moderate income homebuyers in purchasing a home by allowing them to lease a home with an option to buy; the rent payment is made up of the…
Lease-Purchase OptionAn option sometimes used by sellers to rent a property to a consumer, who has the option to buy the home within a specified period of time.
Legacy AssetsThe Legacy Assets are a portfolio of debt securities held by the Asset Management Estates (AMEs) of failed corporate credit unions.
Legitimate source of wage informationLegitimate source of wage information is a survey that meets all the criteria set forth in 20 C.F.R. §655.731(b)(3)(iii)(C).
LenderAn individual or financial institution that lends money with the expectation that the money will be returned with interest.
Lender Option CommitmentsAn agreement giving a lender the option to deliver loans or securities by a certain date at agreed upon terms.
Lender-Placed Insuranceinsurance placed on a home or property by a lender to protect their interest in the collateral which secures the loan.
Leontief inversion approachA mathematical technique which is used at BEA to estimate the input-output (I-O) total requirement coefficients and RIMS II multipliers.
Letter of WishesA letter of wishes is a document that purportedly has no legal status. In fact the document is used to transmit the wishes of the creator or the alleged…
Level loadSome load mutual funds impose a recurring sales charge, called a level load, each year you own the fund rather than a sales charge to buy or sell shares.
Level payment mortgageA loan that requires the same payment each month (or other period) for full amortization.
Level Premium InsuranceInsurance for which the cost is distributed evenly over the premium payment period.
Level term insuranceWith a level term life insurance policy, your annual premium remains the same for the term, which may be as long as 10 or 20 years.
Level yield curveA level yield curve results when the interest rate on short-term US Treasury issues is essentially the same as the rate on long-term Treasury bonds.
LeverageLeverage is an investment technique in which you use a small amount of your own money to make an investment of much larger value.
Leveraged buyoutA leveraged buyout occurs when a group of investors using borrowed money, often raised with high yield bonds or other kinds of debt, takes control of a…
leveragingThe borrowing of money for investment purposes.
LiabilitiesA person's debts and other financial obligations.
LiabilityA legally enforceable financial obligation caused by negligence.
Liability CoverageInsurance protection that pays for claims or judgments brought against the insured.
Liability insuranceInsurance that pays when you are liable for injuries to other persons or damage to their property.
Liability limitsThe maximum amount your liability policy will pay. Your policy must pay at least $25,000 for each injured person, up to a total of $50,000 per accident…
LiableResponsible or answerable by law; legally obligated.
LiablitiesThe sum of debts or obligations of a business. Normally, the liabilities appear on the credit side of a balance sheet.
LIBOR-IndexAn index used to determine interest rate changes for certain ARM plans, based on the average interest rate at which international banks lend to or borrow…
LienLegal claim against a property. Once the property is sold, the lien holder is then paid the amount that is owed.