Ponzi Scheme

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

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Gross Margin

The difference between a company's revenue and the cost to produce its goods/services, divided by revenue.
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Alpha

The percentage by which an investor outperforms a relevant benchmark.
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Global Investment Performance Standards (GIPS)

A set of standards which investors use to present their investment results.
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Venture Capital

A type of financing that investors provide to startups, who sometimes announce getting said financing in TechCrunch, to big fanfare.
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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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Spot Rate

The currency exchange rate a bank quotes, valid with immediate effect.
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Fundamentals

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

The average annual return an investor sees over a set period of time.
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Total Return

This is the measurement of a fund’s performance in a specific period.
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