Glossary

From A to Z, discover clear and concise explanations of key terms, empowering you to make informed decisions in the dynamic world of finance with our comprehensive glossary.

Absolute Return
Accrued Interest
Accumulation (units or share class)
Accumulator
Acquisition
Active Management
Aggressive Investment
Alpha
Alternatives
Annual Percentage Rate (APR)
Annual Report
Annuity
Arbitrage
Ask Price
Asset Allocation
Asset Classes
Auto-callable
Balanced Fund
Bankruptcy
Basis Point
Bear Market
Behavioural Finance
Bellwether
Benchmark
Beta
Bid Price
Blue Chip Stock
Bond
Bond Fund
Bond Ratings
Bonus Share Issuance
Book Value
Bottom-up Investing
BRIC
Bull Market
Business Cycle
Buy-and-Hold
Call Option
Callable
Cap and Collar
Capital Gain
Capital Gains Tax (CGT)
Capital Loss
Capital Protection
Cash flow
Cautious Investor
Closed-end (or closed- ended) Fund
Closing Market Price
Collateralised Debt Obligation (CDO)
Commodities
Consumer Discretionary Sector
Consumer Staples
Contract for Difference (CFD)
Convertible Arbitrage
Convertible/Convertible Bonds
Core Fund
Corporate Bonds
Correlation
Coupon
Credit Rating
Cumulative preference (pref) share
Currency Swap
Cyclical Stock
Debt
Decumulator
Default
Default Risk
Defensive Stock
Deflation
Delta
Depreciation
Derivatives
Directional Investing
Director
Discount
Discounted Cash Flow (DCF)
Discretionary Account
Distressed Assets
Diversification
Dividend Yield
Dividends
Domicile
Dove
Drawdown
Due Diligence
Duration
Earnings
Earnings Per Share (EPS)
Earnings report
EBIT
EBITDA
Effective Interest Rate
Efficiency
Efficient Frontier
Embedded Value or EV
Emerging Markets
Emerging Markets Debt or EMD
Endowment
Equity
Equity Fund
Equity Market Neutral
Estate Planning
Ethical Investing
EU
Eurobond
Eurozone or Euroland
Ex-dividend
Ex-rights
Exchange Traded Fund (ETF)
Executor
Exit Fee
Extra/Extra Dividend
Fair Market Value
Fair Value
Feeder Fund
Fees
Fiduciary Management
Financial Planner
Fiscal year
Fixed Income Assets
Fixed Income Fund Manager
Floating Rate
Flotation
Forex
Forward / Forward Contract
FTSE 100
Fund Manager
Fund of Funds
Fundamentals/ Fundamental Analysis
Funds under Management
Futures
Gearing
Gilt-Edged Security / Gilt
Global Macro
Gold Fix
Growth Stocks
Hawk
Hedge Fund
High Conviction Stock Picking
High Net Worth Individuals
High Water Mark
High-Yield Bond
Income bond
Income Fund
Income Shares
Index
Index Linked Gilt
Indexing
Inflation
Initial Public Offering (IPO)
Institutional Investor
Insurance
Insurance Premium
Interest
Internal Rate of Return (IRR)
Intrinsic Value
Investment
Investment Bank
Investment Company
Investment Grade
Issuer
January Effect
Junk Bond
Kick-out plan
Leverage
Liabilities
LIBOR
Lifestyle Funds
Limited Liability Partnership (LLP)
Liquidation
Liquidity
Listed Company
Loan
Lock Up / Lock In
Locked in
Long / Long Position
Long-Term Debt
Longevity Risk
Loss Aversion
Macro-Economics
Managed Accounts
Managed Funds
Managed Futures
Management Fee
Margin
Margin call
Mark-to-Market
Market Capitalisation (Market Cap)
Market Maker
Market Neutral
Market Neutral Investing
Market Price
Market Risk
Market Timing
Market Value
Maturity
Maximum Draw Down
Merger
Merger Arbitrage
Mergers and Acquisitions (M&A)
Minimum Holding
Miss-selling
Money Laundering
Money Market Fund
Mortgage Backed Security
Multi-Manager Product
Mutual Fund
NASDAQ
Negative Equity
Net Asset Value (NAV)
Net Change
Net Exposure
Net Worth
New Issue
New York Stock Exchange (NYSE)
Nominal Value
Nominee Name
Non-Directional Investing
Offer
Offer Price
Offshore
Open Architecture
Open-end Fund
Operational Risk
Options
Out-of-the-Money
Over the Counter - OTC
Overbought
Overlay Strategy
Oversold
Overweight
Pair Trading
Paper Loss
Paper Profit
Passive Management
Payout Ratio
Pension Plan
Per cent Long
Per cent Short
Performance Fee
Portfolio
Portfolio Construction
Portfolio Optimisation
Portfolio Turnover
Preferred Stock
Premium
Price Earnings Ratio (P/E Ratio)
Prime Broker
Prime Rate
Principal
Private Equity
Proprietary Trading
Prospectus
Put Option
Quantitative Analysis
R – Squared
Rally
Real Estate Investment Trust (REIT)
Record date
Redemption Price
Refinancing
Registrar
Renounceable Issue
Repurchase Agreement (Repo)
Return of Investment (ROI)
Reweighting/Rebalancing
Rights Issue
Risk Adjusted Rate of Return
Risk Arbitrage
Risk Tolerance
Risk-Free Rate
Saving Accounts
Scripophily
SEC
Secondary Market
Sector Fund
Securities
Securities Lending
Sell Side
Settlement
Share Buyback
Sharpe Ratio
Short Covering
Short Selling
Short-Term Debt
SICAV
Stop-Loss Order
Strategic Asset Allocation
Strategic Bond Funds
Street Name
Strike Price
Strip Bond
Structured Products
Structured Warrant
Suitability
Swap
Swap Option
Systematic Risk
Target Redemption Products
Tender Offer
Time Horizon
Time Value
Top-Down Investing
Total Return
Traded Endowment Policy - TEP
Traded Options
Transfer agent (TA)
Treasury Bill (T-Bills)
Treasury Stock
Trust
Trust Deed
Trustee
Underweight
Underwriter
Unit Trust
Unlisted Stock
Value Stocks
VAR (Value at Risk)
Vendor
Venture Capital
Volatility
Warrant
Wealth Management
Withholding Tax
WRAP Account
Yield
Yield Curve
Yield-to-Maturity
Zero Coupon Bond