/

Unicorn

Unicorn

A startup valued at over £1 billion. They are rare, hence the name.

A startup valued at over £1 billion. They are rare, hence the name.

More terms

Internal Rate of Return (IRR)

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

Equity ETF

An exchange-traded fund that is comprised of a set of stocks.

Gross Margin

The difference between a company's revenue and the cost to produce its goods/services, divided by revenue.

Yield to maturity (YTM)

What is yield to maturity and why is it useful?

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.

LSE

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

Withholding Tax

A tax deduction made at the source of the payment.

OEIC

Unique to the UK, these funds pool together money to invest from multiple investors.

Geometric Mean Return

A way of calculating compound returns on an investment or savings over a set period of time.

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 (FCA reg. no. 783189). Registered in England and Wales (no. 09797821).

© 2026 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.