A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- NAV (Net Asset Value)The per-share value of a fund, calculated by dividing its total holdings' value by the number of shares.
- ETF (Exchange-Traded Fund)A basket of investments that trades like a single stock, letting you own many holdings at once with one purchase.
- Face ValueThe amount a bond issuer promises to repay when the bond matures, also called par value.
- BondA loan you make to a government or company that pays you interest and returns your money on a set date.
- ValuationAn estimate of what a company or investment is worth, used to judge whether its price is reasonable.
- Closed-End FundA fund with a fixed number of shares that trades on an exchange and can sell above or below its asset value.
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Plain-English education — not personalized legal, tax, or investment advice.