Interest-only strip (IO)

A security based solely on the interest payments form 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. The New York Times Financial Glossary

Financial and business terms. 2012.

Look at other dictionaries:

  • interest-only strip — ( I/O) A form of stripped mortgage backed security ( MBS) that only passes interest payments received from the underlying mortgage loans to the security owners. May be a real estate mortgage investment conduit ( REMIC) tranche. American Banker… …   Financial and business terms

  • Interest Only (IO) Strips — The interest portion of mortgage, Treasury or bond payments, which is separated and sold individually from the principal portion of those same payments. The periodic payments of several bonds can be stripped to form synthetic zero coupon bonds.… …   Investment dictionary

  • Strip club — Exterior photograph of a strip club advertising full nude entertainment (Cheetahs, in San Diego, California USA). A strip club is an adult entertainment venue in which striptease or other erotic or exotic dance is regularly performed. Strip clubs …   Wikipedia

  • Interest rate swap — An interest rate swap is a derivative in which one party exchanges a stream of interest payments for another party s stream of cash flows. Interest rate swaps can be used by hedgers to manage their fixed or floating assets and liabilities. They… …   Wikipedia

  • Strip search prank call scam — The McDonald s strip search scam was a series of incidents occurring for roughly a decade before an arrest was made in 2004. These incidents involved a man calling a restaurant or grocery store, claiming to be a police detective, and convincing… …   Wikipedia

  • PRINCIPAL AND INTEREST — основная сумма и проценты по облигации или ценной бумаге, обеспеченной пулом ипотек. По традиционным долговым инструментам, таким, как облигации, периодически производятся процентные выплаты, а по наступлении срока держателям облигаций… …   Финансово-инвестиционный толковый словарь

  • Luann (comic strip) — Infobox comic strip title = Luann caption = Characters from left to right Tiffany Farrell, Aaron Hill, Gunther Berger, Delta James, Bernice Halper, Luann DeGroot, Nancy DeGroot, Frank DeGroot, Brad DeGroot, Knute, Crystal and Puddles author =… …   Wikipedia

  • comic strip — a sequence of drawings, either in color or black and white, relating a comic incident, an adventure or mystery story, etc., often serialized, typically having dialogue printed in balloons, and usually printed as a horizontal strip in daily… …   Universalium

  • Pearls Before Swine (comic strip) — Pearls Before Swine The four main Pearls Before Swine Characters. From left to right: Zebra, Rat, Pig and Goat. Author(s) Stephan Pastis …   Wikipedia

  • Non Sequitur (comic strip) — Non Sequitur Author(s) Wiley Miller Website http://www.gocomics.com/nonsequitur/ L …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.