Language

Plain-language reference

The Investing Dictionary

Clear, cross-linked explanations of the terms you meet while learning to invest. Start with a word, not a recommendation.

  • B
  • Bond

    How lending to an issuer creates contractual payments, and how rates, credit quality, maturity, and liquidity affect value.

  • E
  • ETF

    How exchange-traded funds combine a pooled portfolio with intraday share trading, plus the costs and structural risks to inspect.

  • I
  • Index Fund

    How a fund seeks to track a chosen index, why tracking is never exact, and which costs and methodology choices matter.

  • M
  • Mutual Fund

    How an open-end mutual fund pools investor money, prices shares at NAV, distributes returns, and charges costs.

  • S
  • Stock

    What a share of stock represents, how shareholders may earn returns, and why ownership can still lose all its value.