Reverse Investment Law and Legal Definition
Reverse Investment refers to the acquisition by a direct investment enterprise of a financial claim on its direct investor because direct investment is recorded on a directional basis. Capital invested by the direct investment enterprise in its direct investor (reverse investment) is regarded as an offset to capital invested in the direct investment enterprise by a direct investor and its related enterprises. Except when the equity participations are at least 10 percent in both directions. When the claims are not sufficient to establish a second, separate direct investment relationship, the reverse investment transactions should be recorded according to the directional principle of the direct investment relationship.
Legal Definition list
Related Legal Terms
- Actual Investment
- American Recovery and Reinvestment Act [ARRA]
- Association for Investment Management and Research
- Back-tested Performance Data [Investment]
- Cash Flow Investment
- Cash Investment
- Closed-End Investment Company
- Collective Investment Funds (CIFs)
- Collective Investment Institutions
- Community Reinvestment Act (CRA)
