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Time Value of Money

Time Value of Money

The concept that money you have now is more valuable than the same sum in the future.

The concept that money you have now is more valuable than the same sum in the future.

More terms

Forward pricing

Mutual funds are traded on a forward pricing basis, meaning the price you see will be different to the price you may trade at.
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Money weighted rate of return

Learn what Money Weighted Rate of Return or MWRR stands for in finance.
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Stock Market

A place where shares of publicly listed companies are traded.
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Holding Period Return

The amount of money generated by an asset during the time that it was held by an investor..
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Year to Date (YTD)

A period of time that starts with the first day of the current calendar year and ends with today.
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American Depository Receipts (ADRs)

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

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

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.
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