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

W-8BEN Form

Non-US individuals and businesses may have to file this form for the Internal Revenue Service (IRS), the US tax authority.
Read more

Arithmetic Mean

The sum of a set of numbers added together and then divided by the total amount of numbers in that set.
Read more

Nominal amount

The face value of a gilt. It represents the amount that will be repaid to the holder at maturity and is also used to calculate the dividend or coupon payment.
Read more

Internal Rate of Return (IRR)

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

Withholding Tax

A tax deduction made at the source of the payment.
Read more

Wall Street

A street in New York that became a figure of speech for the financial markets of the US.
Read more

Total Return

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

Venture Capital

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

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.
Read more

You’re just minutes away from commission-free investing

When you invest, your capital is at risk