Primary income payments: Investment income

IEAMII • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

354,788.00

Year-over-Year Change

44.21%

Date Range

1/1/1999 - 1/1/2025

Summary

Primary income payments: Investment income measures international transfers of income related to foreign investment, such as dividends, interest, and reinvested earnings. This metric is crucial for economists and policymakers to assess a country's external financial position and international competitiveness.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This series represents the total investment income paid by residents of the United States to nonresidents. It includes income from direct investment, portfolio investment, and other investment. Understanding these cross-border income flows is essential for analyzing a nation's balance of payments and overall economic performance.

Methodology

The data is collected and calculated by the U.S. Bureau of Economic Analysis based on surveys of financial institutions and businesses.

Historical Context

Policymakers and analysts use this metric to evaluate the United States' net international investment position and the sustainability of its external accounts.

Key Facts

  • Investment income payments have exceeded $1 trillion annually since 2018.
  • The U.S. has been a net recipient of investment income since the early 2000s.
  • Investment income is a key component of the primary income account in the U.S. balance of payments.

FAQs

Q: What does this economic trend measure?

A: This metric measures the total investment income paid by U.S. residents to nonresidents, including dividends, interest, and reinvested earnings.

Q: Why is this trend relevant for users or analysts?

A: Understanding cross-border investment income flows is crucial for evaluating a country's external financial position, international competitiveness, and the sustainability of its external accounts.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the U.S. Bureau of Economic Analysis based on surveys of financial institutions and businesses.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this metric to assess the United States' net international investment position and evaluate the sustainability of its external accounts.

Q: Are there update delays or limitations?

A: The data is published quarterly with a lag of approximately three months.

Related Trends

Citation

U.S. Federal Reserve, Primary income payments: Investment income (IEAMII), retrieved from FRED.