| A | B |
|---|
| sovereign wealth fund | government of a country has excess cash to manage |
| edge corporations | financial corporations federally chartered and allowed to engage only in international banking or other financial transactions related to international business |
| corresponded banks | act as points of contact for other banks that do not have a branch, agency, subsidiary, or corporation in the host country |
| currency risk | risk posed in variations in exchange rates between countries |
| country risk | political, legal, social and economic conditions that may put an international business at risk |
| money laundering | do things with money and conceal the illegal source |
| letter of credit | instrument given by a bank on behalf of a buyer to pay the bank of the seller |
| foreign exchange rate | value of one currency in trems of another |
| stock | the capital raised by a corporation through the issuance of shares entitling holders to an ownership interest, or equity, in the corporation |
| bond | a debt instrument issued for a peiod of time of more than one year with the purpose of raising capital through borrowing |
| mutual funds | investment companies that pool money from many savers who have small amounts to invest |
| annuity | a series of payments, often to retired person of a set amount from a capital investment |
| outsourcing | refers to the pracitce of having an outside party supply a product or service that te firm had been producing or performing itself |
| factoring | practice of buying debt at a discount |
| donor | person who creates a trust |
| beneficiary | person whose benefit the property is held |
| corpus | property that is held |
| IRA | way to save for retirement |
| 401k | plan way to store your money and get it back at retirement |
| variable annuity | combines the opportunity for tax-deferral with a choice of portfolios and the flexibility to vary annual contributions according to the investors needs or market conditions |
| estate | total property that a person owns |
| will | document by which the individual tells what happens to their property when they die |
| probate | court proceeding that settles an estates final debts and formally passes legal title to property from the decedent to his or her heirs |
| executor | must identify all assets in the estate and determine their value |
| living trust | legal document that provides an expedient way to transfer property at a persons death |
