Glossary of Financial Terms

 
 

30-Day SEC Yield 

30-Day SEC Yield represents net inv…

Active Share

Active Share measures the percenta…

Alpha

Alpha measures risk-adjusted...

Annual Portfolio Turnover

Annual Portfolio Turnover meas...

Benchmark

A benchmark is a standard baro...

Beta

Beta measures volatility relat...

Bond

A bond is a fixed-income secur...

Coupon

A Coupon is the rate at which...

Current Yield

Current Yield is an investment...

Debt to Equity Ratio

Debt to Equity is a company’s...

Dividend Yield

Dividend Yield is the ratio of...

Downside Capture Ratio (Down Capture)

Down Capture measures the perc...

Duration

A measure of a bond’s price se...

Earnings Per Share (EPS)

EPS is a company’s net profit...

Effective Duration

Effective Duration measures th...

EPS Growth Rate

EPS Growth Rate is the forecas...

Equity

Equity is ownership of a comp...

Futures

A forward contract that is tra...

Information Ratio

Information Ration is the rati...

Leverage

Leverage is the ratio of fund...

Liability

Liability is a legal obligatio...

Maturity

Maturity is the date when, or...

Net Asset Value (NAV)

NAV is the value of an invest...

Option

An option is a contract that p...

Option-Adjusted Spread

Option-adjusted Spread is the...

Price-to-Book Ratio (P/B)

P/B is the ratio of current sh...

Price-to-Cash Flow Ratio (P/CF)

P/CF is the price divided by c...

Price-to-Earnings Ratio (P/E)

P/E is the ratio of a stock's...

Return on Assets (ROA)

ROA measures net income relati...

Return on Equity (ROE)

ROE is a measure of how much p...

Sales Growth

Sales Growth is the compound a...

Sharpe Ratio

Sharpe Ratio measures return r...

Spread

Spread is the difference betwe...

Standard Deviation

Standard Deviation measures di...

Total Portfolio Yield

Total Portfolio Yield is the a...

Tracking Error

Tracking Error measures the va...

Upside Capture Ratio (Up Capture)

Up Capture measures the percen...

Volatility

Volatility is the extent to wh...

Weighted Average Market Cap

Weighted Average Market Cap is...

Yield

Yield is a component of the re...

Yield-to-Worst (YTW)

YTW denotes the lowest possibl...