Investopedia

Definition of 'Investopedia'


One of the best-known sources of financial information on the internet. Investopedia is a resource for investors, consumers and financial professionals who seek guidance or research on various topics. The website publishes articles on investments, insurance, retirement, estate and college planning, consumer debt and an assortment of other educational material.

Investopedia explains 'Investopedia'


Investopedia was purchased by Forbes Publishing in 2007 and then later by ValueClick, Inc. in 2010. Although Investopedia started as a source for financial terms, it has expanded to bring timely stock analysis and financial news material to users. New investors can open a free stock or forex simulator account before entering the market with real funds.



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Hot Definitions
  1. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will respond similarly to a marketing action. Market segmentation enables companies to target different categories of consumers who perceive the full value of certain products and services differently from one another.
  2. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following:
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option is purchased and the lower premium option is sold - both at the same time. The higher the debit spread, the greater the initial cash outflow the investor will incur on the transaction.
  4. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious debt when government leaders use borrowed funds in ways that don't benefit or even oppress citizens. Some legal scholars argue that successor governments should not be held accountable for odious debt incurred by earlier regimes, but there is no consensus on how odious debt should actually be treated.
  5. Takeover

    A corporate action where an acquiring company makes a bid for an acquiree. If the target company is publicly traded, the acquiring company will make an offer for the outstanding shares.
  6. Harvest Strategy

    A strategy in which investment in a particular line of business is reduced or eliminated because the revenue brought in by additional investment would not warrant the expense. A harvest strategy is employed when a line of business is considered to be a cash cow, meaning that the brand is mature and is unlikely to grow if more investment is added.
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