What is 'Exchange-Traded Fund (ETF)'?

A collection of investments, pooled into a single fund that can be bought and sold on a stock exchange.

More terms

Yield curve

A graphical representation of interest rates over time

Retail Prices Index (RPI)

An index published each month by the Office for National Statistics, which measures the level of retail prices in the UK. Cash flows on all index-linked gilts are linked to the RPI.

Equity ETF

An exchange-traded fund that is comprised of a set of stocks.

Internal Rate of Return (IRR)

A means of calculating the potential future return on an investment.

Depository

We look at what is a depository and what role they play in keeping markets work.

Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.

Rate of Return

Profit on an investment, expressed as a percentage of the investment.

Alpha

The percentage by which an investor outperforms a relevant benchmark.

Earnings per share

We look at what earnings per share mean and how to calculate it

Exchange-Traded Fund (ETF)