What is an 'Exchange-Traded Fund (ETF)'? Definition & meaning

More terms

SPAC

Find our what a SPAc or special purpose acquisition company is.

Key Information Document (KID)

A document issued by an investment fund to help investors determine if it's the right fund for them.

Alpha

The percentage by which an investor outperforms a relevant benchmark.

Running yield

The annual interest payment (dividend) divided by the current market price of a bond.

Investment Return

The amount of money made or lost from an investment. Usually expressed as a percentage.

Inflation

The increase in the prices of goods and services over time, and the process by which money loses its value.

Costs and Charges

The money you pay when investing.

Fixed Income

An investment that provides a fixed rate of return, often over a specific set of time.

Synthetic ETFs

An ETF that that reproduces the return of an index through the use of swaps.

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Exchange-Traded Fund (ETF)