Investment and Finance
The most frequently asked tax questions related to Investment and Finance
For Tax Payers
Need professional help with a specific tax issue or have general tax questions? Ask a CPA is the easiest way to get advice from a licensed accountant in our network.
Ask a Tax QuestionFor Accountants
Provide answers to tax questions and introduce your practice to new potential clients. Build your CPAdirectory profile and earn reputation points.
Answer Tax QuestionsInvestments & Financial Planning
What is the International Monetary Fund ?
Asked Friday, January 12, 2001 by an anonymous user
The International Monetary Fund also known as the IMF is an organization founded to oversee exchange arrangements of member countries and to lend foreign currency reserves to members with short term balance of payment problems.
Investments & Financial Planning
What is an Investment letter ?
Asked Friday, January 12, 2001 by an anonymous user
An Investment letter is a letter of intent between the issuer of new securities and the buyer, in the private placement of these new securities. The letter of intent establishes that the securities are being bought for a minimum time period and are treated as an investment, not for resale. If no such letter exists, the securities must be registered with Securities and Exchange Commission.
Investments & Financial Planning
Does Italy have a stock exchange ?
Asked Friday, January 12, 2001 by an anonymous user
Yes. Italian Stock Exchange is based
in Milan. It came into effect after the unification of Italy's 10 national exchanges in 1991. All listed securities are traded electronically. The main indexes are the MIB and the MIBTEL, based on the prices of all listed shares, and the MIB Thirty, based on a sample of the thirty most liquid and highly capitalized shares.
Investments & Financial Planning
What does a stock broker do ?
Asked Friday, January 12, 2001 by an anonymous user
A broker is an individual who is paid a commission for executing customer orders. A floor broker is one who executes orders on the stock exchange floor, or an upstairs broker who handles retail customers and their orders. A broker is also a person who acts as an intermediary between a buyer and seller, usually charging a fee or commission. A broker who specializes in stocks, bonds, commodities, or options acts as an agent and must be registered with the exchange where the securities are traded.
Investments & Financial Planning
What is a Brokered Certificate of Deposit ?
Asked Friday, January 12, 2001 by an anonymous user
A brokered Certificate of Deposit is a certificate of deposit issued by a bank or thrift institution bought by a brokerage firm in bulk for the purpose of reselling to their brokerage customers. A broker Certificate of Deposit features a higher interest rate, usually 1 percent higher, and is FDIC insured and do not usually have commissions.
Investments & Financial Planning
What are Investment-grade bonds ?
Asked Friday, January 12, 2001 by an anonymous user
A bond that is assigned a rating in the top 4 categories by commercial credit rating companies. Standard & Poors classifies investment-grade bonds as BBB or higher, and Moody's classifies investment grade bonds as Ba or higher.
Investments & Financial Planning
What are Arbitrage bonds ?
Asked Thursday, January 11, 2001 by an anonymous user
Arbitrage bonds are municipality issued bonds issued intended to gain an interest rate advantage by refunding a higher rate bond in ahead of their call date. Lower rate refunding issue proceeds are invested in Treasuries until the first call date of the higher rate issue.
Investments & Financial Planning
Does Australia have an exchange ?
Asked Thursday, January 11, 2001 by an anonymous user
Australian Stock Exchanges
Australian Securities Exchange (ASX)
Bendigo Stock Exchange (BSX)
NSX National Stock Exchange of Australia
Investments & Financial Planning
In relation to mutual funds, what is backdating?
Asked Thursday, January 11, 2001 by an anonymous user
It is a feature allowing fund holders to use an earlier date on a letter of intent to invest in a mutual fund in exchange for a reduced sales charge. It Gives retroactive value to purchases from the earlier date.
