Related Words

Earnings Before Interest After Taxes (EBIAT): Net income for the company during a period.

Interest-Sensitive Stock: Stocks whose earnings are dependent upon and change with the interest rate, e.g., bank stocks.

Jack Rafter: A rafter that spans the distance from the wall plate to a hip, or from a valley to a ridge.

Low Price-Earnings Ratio Effect: The tendency of portfolios of stocks with a low price-earnings ratio to outperform portfolios of stocks with high price-earnings ratios.

Lower Earnings Limit: The level of income at which employees start to pay Class 1 National Insurance contributions.

Local Taxes: Property, sewer, school, or other community paid to a locality. Local taxes are usually deductible for federal income tax purposes.

Interest-Sensitive Insurance Policy: A cash value life insurance policy whose insurance dividend rates vary with respect to inflation, enabling the policyholder to avoid the loss of purchasing power associated with inflation.

Interest-Only Loan: A loan in which payment of principal is deferred and interest payments are the only current obligation.

Interest-Only Mortgage: With an interest-only mortgage loan, you pay only the interest portion of each scheduled payment for a fixed term, often five to seven years. After that, your payments increase, often substa . . . View Full Definition

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 sto . . . View Full Definition