What is 'Total Return'? | Freetrade Dictionary

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

Leverage

A method of trading using borrowed money that usually involves a very high level of risk.

Withholding Tax

A tax deduction made at the source of the payment.

Know Your Customer (KYC)

A legal requirement for financial firms to understand exactly who their customers are. Used to prevent money laundering and terrorist financing.

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.

Securities

Bonds and stocks.

Value Investing

The art of buying shares which trade below their value, according to the analysis of the value investor.

Custodian bank

Learn what a custodian bank is.

Packaged Retail and Insurance-based Investment Product (PRIIP)

An investment where, regardless of its legal form, the amount repayable to the retail investor is subject to fluctuations.

Costs and Charges

The money you pay when investing.

Total Return