/

Total Return

Total Return

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

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.

‍

More terms

Bed & ISA

Understand what Bed and ISA is and how it works

Alpha

The percentage by which an investor outperforms a relevant benchmark.

Maturity date

The date on which a gilt is redeemed and the gilt holder receives the repayment of the nominal amount and final dividend or coupon payment.

Yield

Income from an investment as a percentage of its current price.

SPAC

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

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.

Diversification

An investment strategy in which money is put into a variety assets.

Volatility

A measure of how much the prices of an asset or index vary over time.

Dirty price

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

You’re just minutes away from commission-free investing

When you invest, your capital is at risk

Freetrade does not provide investment advice and individual investors should make their own decisions or seek professional advice. The value of investments can go down as well as up and you may receive back less than your original investment. Freetrade is a trading name of Freetrade Limited, which is a member firm of the London Stock Exchange and is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales (no. 09797821).

© 2025 Freetrade, All rights reserved. The Apple logo is a trademark of Apple Inc. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.