Actionable

DEFINITION of 'Actionable'

A business directive or investment strategy that can feasibly be accomplished in the near future. Company managers and investors try to identify things that are currently actionable, as they may be prerequisites toward accomplishing future goals and higher level directives.

This usage is different from the standard legal definition of actionable, which means that something has provided sufficient grounds to file a lawsuit.

BREAKING DOWN 'Actionable'

For example, a mutual fund may spend a month researching a company, but only when an actual trade to purchase the stock is prepared does the decision become "actionable".

Investors often look to certain times of the year when their investments (current or proposed) may become actionable. Such times are often around earnings season, as it's a natural time to assess where a company is heading and how well it has accomplished prior goals set for the current period.

Another time when investment decisions may move from "proposed" to "actionable" is when changes are made to short-term interest rates, or when major life transitions such as changing jobs, buying a home, or retirement are just around the corner.

RELATED TERMS
  1. Feasibility Study

    An analysis of the ability to complete a project successfully, ...
  2. Asset Sales

    A sale of bank receivables by a bank to another party. Asset ...
  3. Retirement Planning

    The process of determining retirement income goals and the actions ...
  4. Adhocracy

    A form of business management which emphasizes individual initiative ...
  5. Price Action

    The movement of a security's price. Price action is encompassed ...
  6. Administrative Accounting

    The financial reporting of factors that influence decision making, ...
Related Articles
  1. Entrepreneurship & Small Business

    Creating A Feasibility Report With TELOS

    TELOS is an excellent resource if you're looking to create a feasibility report for your small business. Here are ways you can best implement the system.
  2. Managing Wealth

    How Mutual Fund Managers Pick Stocks

    Learn about how mutual fund managers choose stocks based on the type of funds they manage and the investment goals of the funds' shareholders.
  3. Retirement

    10 Simple Steps To Financial Security Before 30

    Find out how to reach your long-term goals without becoming a tightwad.
  4. Investing

    What is a Feasibility Study?

    A feasibility study analyzes a company’s ability to complete a project.
  5. Managing Wealth

    Use Price Action Trading Strategy for Results

    Bored by the fixed rules of technical and fundamental analysis? Price action trading allows you to customize your own trading strategy.
  6. Managing Wealth

    Using Time Horizons In Investing

    Time-horizon investing is all about planning. You need to think about your goals and select investments based on the amount of time you have until the goal must be funded.
  7. Trading

    An Introduction To Price Action Trading Strategies

    For traders who want a mix of technical analysis with their own control in decisions, price action trading offers the perfect fit. Here's how it works.
  8. ETFs & Mutual Funds

    ETFs Vs. Mutual Funds: Choosing For Your Retirement

    Learn about the difference between using mutual funds versus ETFs for retirement, including which investment strategies and goals are best served by each.
  9. Investing

    Where to Invest Your Money? 10 Steps to Financial Success

    Learn where to invest your money ten steps. Included is how to develop a proper investment plan, different investment products and brokerage options.
  10. Markets

    Mining Stocks: Understanding Feasibility

    In this article, we'll look at the feasibility study as it relates to mining stocks and what it is actually telling investors.
RELATED FAQS
  1. How should I invest my small windfall?

    I'm 28 years old and recently received $65,000 after taxes. I have paid all debts aside from my mortgage. I live a modest ... Read Answer >>
  2. Are short-term investments a good strategy for cash-rich small businesses"?

    Learn more about investment choices available to small businesses and whether short-term investing is a smart choice for ... Read Answer >>
  3. What are some of the limitations of only looking at the rate of return for an investment?

    Learn why only reviewing the rate of return for an investment poses a risk to the investor and what additional factors should ... Read Answer >>
  4. What is the most important section in an investment company's prospectus?

    Learn about the various elements included in an investment company's prospectus and which ones are most important for investors ... Read Answer >>
  5. How does price elasticity affect my stock purchase decisions?

    Explore the many possible corporate positions which may, depending on the size and structure of a business, be responsible ... Read Answer >>
  6. What are managed futures?

    Managed futures are futures positions entered into by professional money managers, known as commodity trading advisors, on ... Read Answer >>
Hot Definitions
  1. Duration

    A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. ...
  2. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  3. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  4. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  5. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  6. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
Trading Center