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Inside market
Refers to over-the-counter trading. Best (highest) bid and best (lowest) offer, often used in the O.T.C. Market. See: In-line.
Insider information
Material information about a company that has not yet been made public. It is illegal for holders of this information to make trades based on it, however received.
Insider trading
Trading by officers, directors, major stockholders, or others who hold private inside information allowing them to benefit from buying or selling stock.
Insider Trading & Securities Fraud Enforcement Act of 1988 (ITSFEA)
Federal legislation that greatly increased the penalties for trading on material inside information.
Insider Trading Sanctions Act of 1984
Act imposing civil and criminal penalties for insider trading violations.
Insiders
These are directors and senior officers of a corporation-in effect, those who have access to inside information about a company. An insider also is someone who owns more than 10% of the voting shares of a company.
Insolvency risk
The risk that a firm will be unable to satisfy its debts. Also known as bankruptcy risk.
Insolvent
A firm that is unable to pay debts (its liabilities exceed its assets).
Inspector(s) of Election
The person(s) appointed by the Corporation to act as a judge on voting matters brought before a shareholder meeting. The inspector determines which proxies and ballots are in good form, and acceptable to be voted. They also count and record the votes, supervise and inspect the counting process and attest to the final results. They cannot be overruled on these matters, although they have no voice in the procedural aspects of the meeting itself.
Inspector's or Judge's Certificate
A form provided by the Corporation, and completed by the Inspectors of Election, attesting to the final voting results and percentages of a shareholder meeting.
Installment payments
Distribution of plan assets to beneficiaries based upon a regular schedule.
Installment sale
The sale of an asset in exchange for a specified series of payments (the installments).
Instinet (Institutional Networks Corporation)
Computerized subscriber service that serves as a vehicle for the fourth market. "Instinet" is registered_company with the SEC. As a stock_exchanges it numbers among its subscribers a large number of mutual_fund and other institutional investors linked to each other by computer terminals. The system permits subscribers to display bids and offers (which are exposed system wide for whatever length of time the initiating party specifies) and to consummate trades electronically. Instinet is largely used by market_maker, but, nonmarket makers and customers have equal access.
Institutional broker
A broker who buys and sells securities for institutional investors such as banks, and mutual fund, pension fund.
Institutional Brokers' Estimate System (IBES)
Service that assembles analysts' estimates of future earnings for thousands of publicly traded companies, detailing how many estimates are available for each company and the high, low, and average estimates for each.
Institutional investors
Organizations that invest, including insurance companies, depository institutions, pension fund, investment company, mutual fund, and endowment funds.
Institutionalization
The gradual domination of financial markets by institutional investors, as opposed to individual investors. This process has occurred throughout the industrialized world.
Institutions
Insurance companies, pension funds, trusts, foundations, mutual funds, funds managers, bank investment departments.
Instrumentality
Notes issued by a federal agency whose obligations are guaranteed by the full-faith-and-credit of the government, even though the agency's responsibilities are not necessarily those of the US government.
Instruments
Financial securities, such as money market instruments or capital market instruments.
In-substance defeasance
Process through which debt is removed from the balance sheet but not canceled.
Insurable interest
An insurance term referring to the relationship between a policy's insured person or property and the potential beneficiary. The beneficiary must have an insurable interest in the insured person or property to receive payment of the policy if the insured died while the policy was in force.
Insurance
Guarding against property loss or damage making payments in the form of premiums to an insurance company, which pays an agreed-upon sum to the insured in the event of loss.
Insurance agent
The insurance company representative and adviser who sells insurance policies.
Insurance broker
A broker, independent of any insurance company, who represents the interests of the buyer in searching for insurance coverage at the lowest cost and providing the highest benefit to the buyer.
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