What Is Investment Income? Investment income is money received in interest payments, dividends, capital gains realized with the sale of stock or other assets, and any profit made through another investment type. Additionally, interest earned on bank accounts, dividends received from stock owned by mutual fund holdings, and the profits on the sale of gold
What Is the Investment Income Ratio? The investment income ratio is the ratio of an insurance company’s net investment income to its earned premiums. The investment income ratio compares the income that an insurance company brings in from its investment activities rather than its operations. It is used to determine the profitability of an insurance
What Is Intestate? Intestate refers to dying without a legal will. When a person dies intestate, deciding how their assets will be distributed becomes the responsibility of a state probate court. An intestate estate can also be one in which the will presented to the court was deemed to be invalid. Key Takeaways When a
What Is “in the Money” (ITM)? The phrase in the money (ITM) refers to an option that possesses intrinsic value. An option that’s in the money is an option that presents a profit opportunity due to the relationship between the strike price and the prevailing market price of the underlying asset. An in-the-money call option
What Is “In the Penalty Box”? “In the penalty box” is a phrase referring to a company impacted by an event that keeps its stock price down for a substantial amount of time. Frequently, a firm that does something illegal or unethical will land in the penalty box because of the loss of trust. However
What Does “In the Tank” Mean? “In the tank” is a slang term referring to prolonged poor performance. In the tank can be used in the context of a specific security as in a company’s stock, a particular sector or industry, and even a national economy or the market as a whole. A stock is considered
What Is Intraday? Intraday means “within the day.” In the financial world, the term is shorthand used to describe securities that trade on the markets during regular business hours. These securities include stocks and exchange-traded funds (ETFs). Intraday also signifies the highs and lows that the asset crossed throughout the day. Intraday price movements are
What Is Intraday Return? The intraday return is one of the two components of the total daily return generated by a stock. Intraday return measures the return generated by a stock during regular trading hours, based on its price change from the opening of a trading day to its close. Intraday return and overnight return
What Is an Intrapreneur? An intrapreneur is an employee who is tasked with developing an innovative idea or project within a company. The intrapreneur may not face the outsized risks or reap the outsized rewards of an entrepreneur; however, the intrapreneur has access to the resources and capabilities of an established company. Key Takeaways An
What Is Intrapreneurship? The term intrapreneurship refers to a system that allows an employee to act like an entrepreneur within a company or other organization. Intrapreneurs are self-motivated, proactive, and action-oriented people who take the initiative to pursue an innovative product or service. An intrapreneur knows failure does not have a personal cost as it
