What is 'total return'? Definition & meaning

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

Total return encompasses dividends, capital gains, interest, and distributions realised. It should also deduct any fees and costs associated with holding the fund.

It is expressed as a percentage of the initial investment.

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More terms

After-hours trading

Trading outside of a stock exchange's opening hours.

Growth stocks

These are stocks in companies that are considered to be “growing”. These companies may be delivering new products and services, or entering new markets.

Quantitative easing

Find out what quantitative easing is and how central banks use this monetary measure to encourage economic growth.

Securities

Bonds and stocks.

LSE

London Stock Exchange, which was founded in 1571 and now has a market cap of almost $5 trillion.

Xetra

A trading venue operated by the Frankfurt Stock Exchange.

Base rate

What's the base rate?

Internal Rate of Return (IRR)

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

Year to Date (YTD)

A period of time that starts with the first day of the current calendar year and ends with today.

Total Return