Definition of Indexed

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TeachMeFinance.com - explain Indexed



Indexed -- In finance this term means "measured by" and/or "adjusted according to," thus an interest rate on a note may be, by agreement, "indexed" i.e. adjusted according to the market at time the interest is due. Or a note denominated in a foreign currency may have its exchange rate "indexed," adjusted according to the market rate in effect at the time of payment.



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Mark McCracken

Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English".


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