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

Venture Capital Trust (VCT)

A listed company run by a fund manager, investing mainly in private companies.e.

Oligopoly

A situation in which a market or industry is controlled by a small group of companies.

Quick ratio

Learn what quick ratio stands for in financial terms and how to calculate it.

Dirty price

The total price payable on the purchase of a gilt. It’s calculated as the clean price plus accrued interest.

Venture Capital

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

Bed & ISA

Understand what Bed and ISA is and how it works

Internal Rate of Return (IRR)

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

Key Information Document (KID)

A document issued by an investment fund to help investors determine if it's the right fund for them.

Yield to maturity (YTM)

What is yield to maturity and why is it useful?

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Total Return