Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

OWNER OF RECORD

The person who is the holder of particular property in public records.

OWNERS’ EQUITY

The capital invested in a corporation, based on the deduction of the book value of liabilities from the book value of assets.

OWNERSHIP PROVISION

A provision within insurances policies that allows a policy to be owned by someone other than the person insured.

OXIDATION

The addition of oxygen or the removal of hydrogen during a chemical reaction. Opposite of REDUCTION.

OXIDIZE

The chemical alteration of a substance by mixing it with oxygen.

INCUBATOR

A firm offering a start up seed as venture capital. Also called accelerator

INCURRED LOSS

A loss that occured already that hasnt yet been paid. Also see ratio.

INDEMNITY CONTRACT

A contract that repays the insurer losses back to them. Also called indemnity, or valued contract.

INDEMNITY TRIGGER

An event that suspends coupon interest and principal when losses meet the agreed upon amount. This is also called an index or parametric trigger.

INDEX ARBITRAGE

When index futures are rich buyers keep stocks and sell the futures. When the futures are cheap they sell stock and buy the futures.

INDEX FUTURE

A future contract exchanged in reference to a specific index sector, benchmark equity index, or equity basket. This is also called a commodity, currency, or interest rate future.

INDEX PRINCIPAL SWAP

An over the counter swap with floating interest. The principal is notational. This type of exhange is also called index amoritizing rate, accreting, amoritizing, reverse index principle, or a variable principle swap

INDEX TRIGGER

An event that suspends coupon interest and principal when losses meet an agreed upon amount. Also called an indemnity or parametric trigger.

INDEXING

An investment strategy that tries to predict the future perfromance of an asset with minimum error. This is also called an active investment strategy or an index fund.

INDICATION OF INTEREST (IOI)

When an investor shows interest in new securities. It is nonbinding because the securities are not yet registered. Refer to the defenition of circle.

INDICATIVE QUOTE

An offer given to a dealer that is uncertain. It is used as a guideline for future business offers.

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