|
|
Interest rate parity line (IRP) |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
Interest rate parity line (IRP)Diagonal line on a graph that characterizes interest rate parity.Interest rate parity line (IRP)IRP holds when the rate of return on dollar deposit is just equal to the expected rate of return on British deposits.Similar MatchesInterest sensitive insurance policyInterest sensitive insurance policyA 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 equalization taxInterest equalization taxA tax levied between 1963 and 1974 by the United States of 15% on interest received from foreign borrowers, intended to discourage capital outflows. Exact interestExact interestInterest paid based on the basis of a 365-day/year schedule by a bank or other financial institution as opposed to a 360-day basis (ordinary interest). Difference can be material when large principal sums of money are involved. Amortizing interest rate swapAmortizing interest rate swapSwap in which the principal or notional amount rises (falls) as interest rates rise (decline). Variable interest rateVariable interest rateInterest rates offered by banks and financial institutions on loans or deposits which are liable to change according to circumstances. For example a movement in the interest rate set by the government would usually be an influence. Further SuggestionsBest interests of creditors testEarnings before interest, taxes, and depreciation (EBITD) Interest only mortgages interest Real interest rate Compound interest Daily interest Wild Interest Variable interest rate Compound interest Effective annual interest rate permanent interest bearing shares Deferred interest mortgage Uncovered interest parity stepped interest debenture stocks Any interest date compound interest Capitalized interest Variable Interest Rate Spot interest rate gross interest Interest only loan Future Interest Short interest True interest cost |
|
|
|