Investor Glossary-letter of intentInvestor Glossary-letter of intentInvestor Glossary-letter of intentInvestor Glossary-letter of intentInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Letter Of Intent

The HTML to link to this page
 

A letter of intent is a document written by one company and sent to another indicating a desire and ability to do business. The issuance of a letter of intent often precedes formal negotiations of a merger or acquisition and can potentially impact the share price of both the letter of intent issuer and recipient. Although a letter of intent is not a contract or legally binding, sending a letter of intent generally indicates serious interest. Companies issuing a letter of intent typically disclose this information in a Form 8-K filing with the SEC. Investors contemplating a large investment in a managed fund they plan to make in increments may send a letter of intent in advance of the purchase to qualify for a reduced sales charge.



Rate this letter of intent definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: ex-dividend, debt service coverage, required rate of return, annual return, FTSE, margin rate, 1035 exchange, Key Rate Duration, FICO score, inflation, quality assurance, option premium, 1031 exchange, current ratio, minority interest, wholly-owned subsidiary, average price per share, phantom income, VIX, EBITDA, in escrow, risk management, diluted share, deferred tax, ex-dividend date, reverse mortgage, deferred revenue, cancelled check, real GDP, per diem, command economy, stock split, stock market close, Zero Cost Collar, dividends payable, class C shares, retained earnings, balance sheet, labor relations, liquidity ratio, APR, 144a, open position, covered put, implied volatility, limit order, 401a, LIBOR, irrevocable trust


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use