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

Rate of Return

Profit on an investment, expressed as a percentage of the investment.

NASDAQ

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

Synthetic ETFs

An ETF that that reproduces the return of an index through the use of swaps.

Limit order

Learn what a limit order is and how to use it to make the most of your portfolio.

IPO

When a private company sells shares to the public for the first time. Its stock market debut, basically.

Net Income (NI)

The money a firm is left with from sales after subtracting taxes and different business costs.

SPAC

Find our what a SPAc or special purpose acquisition company is.

Time Value of Money

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

Total Return

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

Total Return

More terms

Rate of Return

NASDAQ

Synthetic ETFs

Limit order

IPO

Net Income (NI)

SPAC

Time Value of Money

Total Return

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