What is 'Internal Rate of Return (IRR)'? Definition & meaning

More terms

Net Asset Value (NAV)

The value of a company's assets relative to the number of shares it has.

After-hours trading

Trading outside of a stock exchange's opening hours.

NASDAQ

A US stock exchange specialising in the shares of technology companies.

Gilt

What is a gilt?

Zero-Sum Game

A situation in which one person's gain is another's loss.

Coupon

Also called a dividend, this is the fixed annual interest paid to gilt holders. It’s usually paid in two equal, semi-annual instalments and expressed as a percentage of the nominal value of the gilt.

Accounting standards

The rules a company follows when preparing financial statements.

Fundamentals

The data or information that is likely to impact a company's stock price.

index-linked gilts

Gilts where the dividends and principal repayments are related to movements in the Retail Prices Index (RPI). This is as opposed to a conventional gilt, where the dividends and principal repayments are fixed in nominal terms.

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Internal Rate of Return (IRR)