Dictionary
/
Ponzi Scheme

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.

More terms

Yield curve

A graphical representation of interest rates over time
Read more

Bull market

We explain what a 'bull market' means
Read more

Maturity value

What's the maturity value of a bond?
Read more

Internal Rate of Return (IRR)

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

Time-Weighted Rate of Return (TWRR)

A return calculated over the time period invested, that excludes extraneous elements, such as deposits to and withdrawals from the investment accounted.
Read more

Stock Exchange

A physical/digital place where stockbrokers and traders can buy and sell securities.
Read more

American Depository Receipts (ADRs)

Tradeable assets that let Americans invest in overseas stocks using US laws and dollars.
Read more

Capital

Learn what financial capital means
Read more

Fixed Income

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

You’re just minutes away from commission-free investing

open an isa
When you invest, your capital is at risk

Freetrade is your gateway to commission-free investing. Join over 1.6 million users using the Best online trading platform, as voted at the British Bank Awards for six years running.

Accounts
Customer Support
Resources
Company
Important information

Freetrade does not provide investment advice and individual investors should make their own decisions or seek professional advice. The value of investments can go down as well as up and you may receive back less than your original investment. Freetrade is a trading name of Freetrade Limited, which is a member firm of the London Stock Exchange and is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales (no. 09797821).

© 2025 Freetrade, All rights reserved. The Apple logo is a trademark of Apple Inc. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.

Follow us on