Iceberg Order

A large order split into smaller, hidden portions to minimize market impact.

Ichimoku Cloud

A technical analysis tool showing support, resistance, and trend direction via a cloud.

Ichimoku Kinko Hyo

A charting system with 5 components (Tenkan-sen, Kijun-sen, Senkou Span A/B, Chikou Span) for trend analysis.

ICON Cryptocurrency (ICX)

A blockchain platform’s token for interoperability between networks, used in DeFi.

Ideation

Generating ideas for financial products, strategies, or innovations.

Identifiable Asset

A specific asset with measurable value, like equipment, on a balance sheet.

Identity Theft

Unauthorized use of personal data for financial gain, like stealing credit card info.

Idiosyncratic Risk

Risk specific to an asset or company, not tied to market-wide factors.

Idle Time

Downtime in business operations, increasing costs without productivity.

Illiquid

Assets or securities difficult to sell quickly without significant price reduction.

Immediate Family

Close relatives, like parents or siblings, relevant for tax or inheritance rules.

Immediate Or Cancel Order (IOC)

A trading order executed instantly or canceled, allowing partial fills.

Immediate Payment Annuity

An annuity starting payments immediately after purchase, providing instant income.

Immunization

A strategy matching asset and liability durations to minimize interest rate risk.

Impact Investing

Investing to generate social or environmental benefits alongside financial returns.

Impaired Asset

An asset with a reduced value below its book value, requiring a write-down.

Impaired Credit

A poor credit rating, limiting borrowing ability or increasing loan costs.

Impairment

A permanent reduction in an asset’s value, recorded as a loss.

Impeachment

Charging a public official with misconduct, potentially impacting markets or policy.

Imperfect Competition

A market with limited competition, like monopolies, affecting pricing and efficiency.

Imperfect Market

A market with inefficiencies, like information asymmetry, hindering fair pricing.

Implicit Cost

Non-monetary opportunity costs, like foregone income from using owned assets.

Implied Authority

Authority assumed by an agent to act, based on their role, in financial deals.

Implied Contract

An unwritten agreement inferred from actions, binding in financial or legal contexts.

Implied Rate

An interest rate derived from financial instruments, like forward contracts.

Implied Volatility (IV)

Expected future volatility of an asset, derived from option prices.

Import

Goods or services brought into a country, impacting trade balances.

Import Duty

Taxes on imported goods, affecting costs and trade economics.

Import Substitution Industrialization

Policy promoting domestic production to replace imports, boosting local economies.

Impression

A view of an advertisement, used in financial marketing to gauge reach.

Imprest

A fixed fund for small expenses, replenished periodically, used in business.

Impulse Wave Pattern

A five-wave trend in Elliott Wave theory, signaling market direction.

Imputed Value

Estimated value of non-market goods or services, like owner-occupied home rent.

Imputed Interest

Interest assumed by the IRS on below-market loans, taxable to the lender.

In-App Purchasing

Buying goods or services within a mobile app, impacting fintech revenue.

In Escrow

Funds or assets held by a third party until transaction conditions are met.

In-House

Activities or financing handled internally, like in-house loan processing.

In-House Financing

Loans provided directly by a seller, like car dealerships, bypassing banks.

In-Service Withdrawal

Withdrawing funds from a retirement plan while still employed, often restricted.

In Specie

Transferring assets (e.g., shares) directly, not as cash, in distributions.

In the Money (ITM)

An option with intrinsic value, where the strike price favors immediate exercise.

Incentive Stock Options (ISOs)

Employee stock options with tax advantages, tied to performance or retention.

Incidence Rate

Frequency of an event, like defaults, used in financial risk analysis.

Incidental Expenses (IE)

Minor costs, like travel fees, deductible in business or tax contexts.

Income

Money received from work, investments, or other sources, like wages or dividends.

Income Annuity

An annuity providing regular payments, often for retirement income.

Income Approach

Valuing an asset based on its income potential, like rental property cash flows.

Income Effect

Change in consumption due to income changes, impacting financial behavior.

Income Elasticity of Demand

How demand changes with income, critical for luxury or inferior goods.

Income from Operations (IFO)

Profit from core business activities, excluding non-operating items.

Income Fund

A fund focused on generating income via dividends or interest, like bond funds.

Income in Respect of a Decedent (IRD)

Income earned by a deceased person, taxable to the estate or beneficiary.

Income Inequality

Uneven distribution of income across a population, measured by Gini or similar metrics.

Income Per Capita

Average income per person, indicating economic prosperity in a region.

Income Property

Real estate generating rental income, like apartments or commercial buildings.

Income Smoothing

Manipulating financial reports to reduce earnings volatility, often controversial.

Income Statement

A financial report showing revenue, expenses, and profit over a period.

Income Stock

Stocks paying high, consistent dividends, appealing to income-focused investors.

Income Tax

A tax on income, like wages or profits, levied by governments.

Income Tax Payable

The amount of income tax owed, recorded as a liability on the balance sheet.

Incontestability Clause

An insurance clause preventing policy disputes after a set period, typically 2 years.

Incorporation

Forming a legal corporation, offering liability protection and tax benefits.

Incoterms

International trade terms defining buyer/seller responsibilities, like FOB or DDP.

Incremental Analysis

Evaluating financial decisions based on additional costs and benefits.

Incremental Capital Output Ratio (ICOR)

Capital needed per unit of output growth, measuring investment efficiency.

Incremental Cost of Capital

Additional cost of raising new capital, impacting financing decisions.

Incremental Cash Flow

Additional cash flows from a project or investment, used in decision-making.

Incremental Cost

Additional cost from increasing production or activity, used in budgeting.

Incumbency Certificate

A document verifying corporate officers’ authority, used in financial contracts.

Incumbent

An existing company or leader, often with market or operational advantages.

Incurred But Not Reported (IBNR)

Insurance losses expected but not yet reported, reserved for future claims.

Indemnity Insurance

Coverage compensating for specific losses, like property or liability claims.

Indenture

A legal contract for bonds, outlining terms, covenants, and obligations.

Indentured Servitude

Historical labor contract binding workers for years, relevant to economic history.

Independent Contractor

A self-employed worker, responsible for their own taxes and benefits.

Index

A benchmark tracking a group of securities, like the S&P 500, for performance.

Index Fund

A fund tracking a market index, offering low-cost, diversified exposure.

Index Futures

Futures contracts based on an index, like S&P 500 futures, for speculation or hedging.

Index Investing

Investing in funds tracking market indices, emphasizing low costs and diversification.

Index-Linked Bond

A bond with payments tied to an index, like inflation, protecting purchasing power.

Index Option

An option based on an index, settled in cash, used for hedging or speculation.

Indexation

Adjusting values (e.g., wages, bonds) for inflation to maintain real value.

Indexed Annuity

An annuity with returns linked to an index, like the S&P 500, with downside protection.

Indexing

Tracking a market index or adjusting financial metrics for economic factors, like inflation.

Indian Rupee

India’s currency (INR), widely traded in forex and tied to its economy.

Indication of Interest (IOI)

A non-binding expression of interest in buying securities, often pre-IPO.

Indicative Net Asset Value (iNAV)

Real-time estimate of an ETF’s per-share value, based on underlying assets.

Indicator

A metric or tool, like RSI or GDP, signaling financial or economic trends.

Indifference Curve

A graph showing combinations of goods yielding equal satisfaction, used in economics.

Indirect Loan

A loan arranged through a third party, like a car dealer, not directly from a bank.

Indirect Method

A cash flow statement approach reconciling net income to operating cash flows.

Indirect Quote

A currency exchange rate expressed as foreign currency per domestic unit.

Indirect Tax

Taxes on goods/services, like sales tax, passed to consumers via prices.

Individual Retirement Account (IRA)

A tax-advantaged account for retirement savings, like Traditional or Roth IRAs.

Industrial Bank

A bank serving industrial clients, often offering specialized financing.

Industrial Goods Sector

Companies producing goods for other businesses, like machinery or raw materials.

Industrial Organization

Studying firm behavior and market structures, like monopolies or competition.

Industrial Production Index (IPI)

A measure of manufacturing, mining, and utility output, signaling economic health.

Industrial Revenue Bonds

Municipal bonds funding industrial projects, repaid by project revenue.

Industrial Revolution

18th-19th century shift to mechanized production, shaping modern economies.

Industrialization

Economic transition to manufacturing and industry, driving growth and investment.

Industry

A group of firms producing similar goods/services, like tech or finance.

Industry Life Cycle

Stages (startup, growth, maturity, decline) of an industry’s development, guiding investment.

Industry Life Cycle Analysis

Evaluating an industry’s stage to assess investment risks and opportunities.

Inefficient Market

A market where prices don’t fully reflect information, allowing mispricing.

Infant-Industry Theory

Protecting new industries via tariffs to foster growth and competitiveness.

Inferior Goods

Goods with demand decreasing as income rises, like low-cost staples.

Inflation

Rising prices reducing purchasing power, impacting savings and investments.

Inflation Accounting

Adjusting financial statements for inflation to reflect real economic value.

Inflation-Adjusted Return

Returns adjusted for inflation, showing real investment growth.

Inflation Hedge

Investments like gold or TIPS protecting against inflation’s erosion of value.

Inflation Swap

A derivative exchanging fixed for inflation-linked payments, hedging inflation risk.

Inflationary Gap

When actual GDP exceeds potential GDP, causing upward price pressure.

Inflection Point

A turning point in a market or economy, signaling a trend change.

Information Coefficient (IC)

A measure of an analyst’s forecast accuracy, correlating predictions with outcomes.

Information Ratio

Risk-adjusted return of a portfolio relative to a benchmark, measuring manager skill.

Infrastructure

Physical or organizational systems, like roads or financial networks, supporting economies.

Inherent Risk

Risk intrinsic to an activity or investment, before controls or mitigation.

Inheritance

Assets received from a deceased person, subject to estate or inheritance taxes.

Inheritance Tax

A tax on assets received by heirs, varying by jurisdiction and value.

Inherited IRA

An IRA passed to a beneficiary, with specific tax and withdrawal rules.

Initial Coin Offering (ICO)

A crypto fundraising method selling tokens to investors, often unregulated.

Initial Margin

The initial deposit required to open a margin trading position.

Initial Public Offerings (IPOs)

A company’s first sale of shares to the public, raising capital.

Inorganic Growth

Business growth through mergers, acquisitions, or takeovers, not organic expansion.

Input-Output Analysis

Studying economic flows between sectors, used in financial planning or policy.

INSEAD

A global business school, influential in finance and management education.

Inside Day

A trading day where a security’s price range is within the prior day’s range.

Inside Indemnity

Insurance covering internal risks, like employee theft, within a firm.

Inside Sales

Selling financial products/services remotely, like via phone or online.

Insider

A person with access to non-public company information, like executives.

Insider Trading

Illegal trading based on material, non-public information, violating securities laws.

Insolvency

Inability to pay debts, potentially leading to bankruptcy or restructuring.

Installment Debt

Debt repaid in fixed payments over time, like mortgages or car loans.

Institute for Supply Management (ISM)

U.S. organization providing economic data, like the PMI, for financial analysis.

Institute of Management Accountants (IMA)

A professional group offering certifications, like CMA, for management accounting.

Institutional Brokers' Estimate System (IBES)

A database of analyst earnings forecasts, guiding investment decisions.

Institutional Investor

Large entities, like pension funds, managing substantial investment portfolios.

Instrument

A financial contract, like a bond or stock, representing value or obligation.

Insufficient Funds

Lack of money in an account to cover a transaction, causing bounced checks.

Insurable Interest

A stake in an insured item, required for valid insurance policies.

Insurance

A contract transferring risk to an insurer for premiums, like life or property coverage.

Insurance Claim

A request for payment under an insurance policy after a covered event.

Insurance Coverage

The scope of protection provided by an insurance policy, like liability or health.

Insurance Premium

The cost of insurance, paid periodically to maintain coverage.

Insurance Underwriter

A professional assessing risk to set insurance premiums or coverage terms.

Insurtech

Technology improving insurance processes, like underwriting or claims via AI.

Intangible Asset

Non-physical assets, like patents or goodwill, valued on balance sheets.

Intangible Personal Property

Non-physical personal assets, like stocks or intellectual property, taxable or transferable.

Intellectual Capital

Knowledge or expertise driving value, like patents or employee skills.

Intentionally Defective Grantor Trust (IDGT)

A trust with deliberate flaws for tax benefits, treating income as the grantor’s.

Inter-American Development Bank (IDB)

A bank financing development projects in Latin America and the Caribbean.

Interactive Media

Digital platforms engaging users, like financial apps or trading interfaces.

Interbank Deposits

Funds banks lend to each other, often overnight, to manage liquidity.

Interbank Market

A market where banks trade currencies, loans, or securities with each other.

Interbank Network for Electronic Transfer (INET)

A system for electronic interbank transactions, now part of broader networks.

Interbank Rate

Interest rate banks charge each other for short-term loans, like LIBOR.

Intercontinental Exchange (ICE)

A global exchange operator for futures, equities, and commodities, like NYSE.

Interest

The cost of borrowing or return on lending, expressed as a percentage.

Interest Coverage Ratio

EBIT divided by interest expense, measuring ability to pay debt interest.

Interest Expense

The cost of interest on borrowed funds, recorded on income statements.

Interest-Only Mortgage

A mortgage requiring only interest payments for a period, then principal.

Interest Rate

The percentage charged on borrowed money or earned on savings.

Interest Rate Call Option

An option to buy a future interest rate, used for hedging or speculation.

Interest Rate Collar

A strategy combining caps and floors to limit interest rate exposure.

Interest Rate Derivative

A contract, like swaps or options, based on interest rate movements.

Interest Rate Differential (IRD)

The difference in rates between two currencies or loans, affecting costs.

Interest Rate Floor

A derivative setting a minimum interest rate, protecting against rate declines.

Interest Rate Future

A futures contract based on interest-bearing instruments, like bonds.

Interest Rate Options

Options tied to interest rates, used for hedging or speculation.

Interest Rate Parity

A theory linking interest rates, exchange rates, and currency prices.

Interest Rate Risk

Risk of loss from interest rate changes, impacting bonds or loans.

Interest Rate Sensitivity

How much an asset’s value changes with interest rate shifts, like bonds.

Interest Rate Swap

Exchanging fixed for floating interest payments to manage rate exposure.

Interim Dividend

A dividend paid before annual earnings are finalized, often quarterly.

Interim Statement

A financial report for a partial period, like quarterly results.

Intermediate Good

Goods used in production, like steel in cars, not final products.

Internal Audit

An independent review of a firm’s operations or finances to ensure compliance.

Internal Auditor (IA)

A professional conducting internal audits to assess risk or efficiency.

Internal Controls

Processes ensuring financial accuracy, compliance, and fraud prevention.

Internal Growth Rate

The maximum growth a firm can achieve without external financing.

Internal Rate of Return (IRR)

The discount rate making a project’s NPV zero, used in capital budgeting.

Internal Revenue Code (IRC)

U.S. tax laws governing income, estate, and other taxes.

Internal Revenue Service (IRS)

U.S. agency collecting taxes and enforcing tax laws.

Internalization

Executing trades within a firm, avoiding external markets, to save costs.

International Accounting Standards (IAS)

Global accounting rules, now largely replaced by IFRS, for consistency.

International Bank Account Number (IBAN)

A standardized code for identifying bank accounts in international transactions.

International Bank of Reconstruction and Development (IBRD)

World Bank arm lending to developing nations for infrastructure and growth.

International Banking Facility (IBF)

A U.S. bank division handling international transactions, often tax-exempt.

International Bond

A bond issued in a foreign market or currency, like Eurobonds.

International Chamber of Commerce (ICC)

A global body promoting trade, setting standards like Incoterms.

International Depository Receipt (IDR)

A certificate representing foreign shares, traded locally, like ADRs or GDRs.

International Finance

Managing financial transactions across borders, like forex or FDI.

International Finance Corporation

World Bank arm promoting private investment in developing countries.

International Financial Reporting Standards (IFRS)

Global accounting standards for consistent financial reporting.

International Fisher Effect (IFE)

Theory linking interest rate differences to expected exchange rate changes.

International Investing

Investing in foreign markets or assets, diversifying portfolios.

International Labor Organization (ILO)

UN agency setting labor standards, impacting global employment costs.

International Maritime Organization (IMO)

UN agency regulating shipping, affecting trade and logistics costs.

International Monetary Fund (IMF)

Global organization providing loans and policy advice to stabilize economies.

International Monetary Market (IMM)

CME division trading currency and interest rate futures.

International Organization for Standardization (ISO)

Sets global standards, like ISO 20022, for financial systems.

International Securities Identification Number (ISIN)

A unique code identifying securities globally, like stocks or bonds.

International Swaps and Derivatives Association (ISDA)

Body standardizing derivatives contracts, like swaps, for clarity.

Internationalization

Expanding business or investments globally, adapting to foreign markets.

Internet of Things (IoT)

Connected devices, used in fintech for data-driven financial services.

Interpersonal Skills

Soft skills, like communication, critical for financial client relations or leadership.

Interpolated Yield Curve (I Curve)

Estimating yields between known points on a yield curve for pricing.

Interpolation

Estimating values between known data points, used in financial modeling.

Intertemporal Choice

Decisions balancing present and future benefits, like saving vs. spending.

Inter-Vivos Trust

A trust created during the grantor’s lifetime, often for tax planning.

Intestate

Dying without a will, leaving asset distribution to state laws.

Intraday Momentum Index (IMI)

A technical indicator combining price and volume for short-term trading signals.

Intraday Trading

Buying and selling securities within a single trading day, often speculative.

Intrapreneur

An employee innovating within a company, like developing new financial products.

Intrapreneurship

Encouraging entrepreneurial activities within a firm, boosting innovation.

Intrinsic Value

An asset’s true value based on fundamentals, like cash flows or earnings.

Introducing Broker (IB)

A broker connecting clients to larger firms, earning commissions.

Inventory

Goods held for sale or production, a key balance sheet asset.

Inventory Accounting

Tracking and valuing inventory, using methods like FIFO or LIFO.

Inventory Financing

Loans secured by inventory, used to fund business operations.

Inventory Management

Overseeing stock levels to optimize costs and meet demand.

Inventory Turnover

Cost of goods sold divided by average inventory, measuring sales efficiency.

Inventory Write-Off

Reducing inventory value due to obsolescence or damage, impacting profits.

Inverse Correlation

When two variables move oppositely, like stocks and bonds in some markets.

Inverse ETF

An ETF designed to move opposite to its tracked index, for hedging or speculation.

Inverse Head And Shoulders

A bullish chart pattern signaling a trend reversal, with three troughs.

Inverted Yield Curve

When short-term yields exceed long-term yields, often predicting recessions.

Invested Capital

Total capital (debt and equity) used by a company to generate returns.

Investigational New Drug (IND)

FDA approval for drug trials, impacting biotech investment timelines.

Investing

Allocating capital to assets for growth or income, like stocks or real estate.

Investment

An asset purchased to generate returns, like bonds, stocks, or property.

Investment Advisers Act of 1940

U.S. law regulating investment advisors, requiring registration and fiduciary duty.

Investment Advisor

A professional providing financial advice, often registered with the SEC or FINRA.

Investment Advisory Representative (IAR)

An individual working for an advisor, providing client investment guidance.

Investment Analysis

Evaluating securities or projects to assess risk, return, or suitability.

Investment Bank (IB)

A bank facilitating capital raising, mergers, or advisory services for clients.

Investment Banker

A professional at an investment bank, handling deals like IPOs or M&As.

Investment Banking

Financial services for capital raising, mergers, and advisory, often for corporations.

Investment Center

A business unit evaluated by its return on invested capital, like a division.

Investment Club

A group pooling funds to invest collectively, sharing research and profits.

Investment Company

A firm, like a mutual fund, pooling investor money for managed investments.

Investment Company Act of 1940

U.S. law regulating investment companies, requiring transparency and registration.

Investment Consultant

A professional advising clients or funds on investment strategies or allocations.

Investment Fund

A pooled vehicle, like a mutual fund or ETF, investing in various assets.

Investment Grade

Bonds rated BBB- or higher, indicating low default risk.

Investment Horizon

The time an investor plans to hold an investment, guiding strategy.

Investment Income

Earnings from investments, like dividends, interest, or capital gains.

Investment Management

Professional management of assets to meet client goals or returns.

Investment Manager

A person or firm overseeing investment portfolios or funds.

Investment Multiplier

The economic impact of investment spending, amplifying GDP growth.

Investment Objective

An investor’s goal, like growth or income, shaping portfolio strategy.

Investment Policy Statement (IPS)

A document outlining an investor’s goals, risk tolerance, and strategy.

Investment Product

Financial instruments, like stocks or ETFs, offered to investors.

Investment Property

Real estate held for income or appreciation, not personal use.

Investment Securities

Marketable securities, like stocks or bonds, held for investment purposes.

Investment Strategy

A plan for selecting and managing investments to achieve specific goals.

Investment Thesis

A rationale for investing in an asset, based on research or expectations.

Investment Vehicle

A financial product, like a fund or stock, used to invest capital.

Investopedia

An online resource for financial education, definitions, and investing tools.

Investor

An individual or entity allocating capital to generate returns.

Investor Relations

A company department communicating financial performance to shareholders.

Invisible Hand

Adam Smith’s concept of market forces guiding economic efficiency.

Invoice

A document requesting payment for goods or services, used in business.

Invoice Financing

Borrowing against unpaid invoices to access immediate cash.

IOTA

A cryptocurrency for IoT transactions, using a Tangle instead of blockchain.

IOU

An informal debt acknowledgment, promising future repayment.

IRA Rollover

Transferring funds from one IRA or retirement plan to another, tax-free.

Iranian Rial (IRR)

Iran’s currency, heavily devalued, used in its oil-based economy.

Iron Butterfly

An options strategy combining a call and put spread for neutral markets.

IRR Rule

Accepting projects if their IRR exceeds the cost of capital.

Irrational Exuberance

Over-optimism driving asset bubbles, coined by Alan Greenspan.

Irrevocable Beneficiary

A beneficiary who cannot be changed without consent, in insurance or trusts.

Irrevocable Letter of Credit

A guaranteed payment commitment, unchangeable without all parties’ agreement.

Irrevocable Trust

A trust that cannot be altered or terminated, used for tax or estate planning.

IRS Form 4868

IRS form to request an extension for filing individual tax returns.

IRS Publication 15

IRS guide for employer tax withholding and payroll obligations.

IRS Publication 463

IRS guide on deductible travel, entertainment, and gift expenses.

IRS Publication 519

IRS guide for U.S. tax rules for nonresident aliens.

IRS Publication 525

IRS guide on taxable and nontaxable income sources.

IRS Publication 527

IRS guide on rental property income, expenses, and depreciation.

IRS Publication 535

IRS guide on deductible business expenses, like salaries or rent.

IRS Publication 550

IRS guide on investment income and expenses, like dividends or capital gains.

IRS Publication 590

IRS guide on IRAs, covering contributions, distributions, and tax rules.

IRS Publication 590-B

IRS guide on IRA distributions, detailing tax and penalty rules.

IRS Publication 970

IRS guide on tax benefits for education, like credits or deductions.

IRS Publication 972

IRS guide for claiming the Child Tax Credit, with worksheets.

IS-LM Model

A macroeconomic model balancing interest rates (IS) and money supply (LM).

ISDA Master Agreement

A standardized contract for OTC derivatives, reducing legal risks.

iShares

BlackRock’s ETF brand, tracking indices like the S&P 500.

Islamic Banking

Banking adhering to Sharia law, avoiding interest and speculative investments.

ISM Manufacturing Index

A PMI-based index of U.S. manufacturing activity, signaling economic trends.

ISO Currency Code

Three-letter codes (e.g., USD, EUR) standardizing currency identification.

Isoquant Curve

A graph showing input combinations yielding the same output, used in economics.

ISPs (Internet Service Providers)

Companies providing internet access, impacting fintech and digital banking.

Issue

The act of offering securities, like stocks or bonds, for sale.

Issued Shares

Shares a company has distributed to investors, including outstanding and treasury shares.

Issuer

An entity issuing securities, like a corporation or government, raising capital.

Issuer Identification Numbers (IIN)

The first digits of a credit card, identifying the issuing institution.

Itemized Deduction

Specific expenses, like mortgage interest, deductible from taxable income.