Activate Your Money

Glossary

accredited investor: 

Anyone whose earned income exceeded $200,000 (or $300,000 with a spouse) in each of the prior two years and who reasonably expects the same for the current year. Or someone who has a net worth over $1 million, either alone or with a spouse, not counting the value of the person's primary residence.

actively managed: 

Financial products, usually funds, in which investment decisions are made by portfolio managers and designed to outperform an index.

angel investing: 

Practice of making investments in early-stage and start-up businesses.

annual percentage yield (APY): 

Total amount of interest you earn on an investment, usually a bank deposit, assuming the funds remain in the account a full year.

annualized return: 

Return that is realized on a per annum basis, assuming compounding of returns during the period.

asset allocation: 

Strategy for portfolio management that splits assets among broad categories of investments, such as cash, fixed income, public equities, and alternatives.

asset class: 

Group of investments that have similar attributes and behave in a like manner in the market. The most common asset classes are cash, fixed income, and public equities.

assets under management (AUM): 

Total market value of all the financial assets that a financial institution manages on behalf of its customers and for itself.

B-Corporation: 

Businesses that receive certification confirming they adhere to high standards of social and environmental performance, ...