Meaning INTEREST-ONLY STRIP (IO): A security based solely on the interest payments from a pool of mortgages, Treasury bonds, or other bonds. Once the principal on the mortgages or bonds has been repaid, interest payments stop, and the value of the IO falls to zero
More terms such as Interest-only strip (IO) in Dictionary I.
- Definition Identified Shares:
- Examples Stock or mutual fund whose purchase date and price may be identified for capital gains and tax purposes when shares sold interest-only strip (io) definition.
- Definition Ingot:
- Examples A bar of metal such as the type that the Federal Reserve System uses to store gold reserves interest-only strip (io) explain.
- Definition Interest Deduction:
- Examples An interest expense, such as interest on a margin account, that is allowed as a deduction for tax purposes interest-only strip (io) what is.
- Definition Index Fund:
- Examples designed to match the returns on a stock market index. Mutual fund whose portfolio matches that of a broad-based index such as the S;P 500 and whose performance therefore mirrors the market as interest-only strip (io) meaning.
- Definition Imbalance Of Orders:
- Examples equity securities. Too many market orders of one kind-buy or to sell or limit orders to buy up or sell down, without matching orders of the opposite kind. An imbalance usually follows a dramatic interest-only strip (io) abbreviation.
