ESG (Environmental, Social, and Governance)

An investment approach that considers a company's environmental impact, social responsibility, and governance practices alongside financial metrics. Growing in popularity as investors seek to align investments with values.

Exchange Traded Fund

Investment funds traded on stock exchanges, offering diversification like mutual funds but with the trading flexibility of stocks. Often have lower expenses and better tax efficiency than mutual funds.

Mutual Fund

Pooled investment vehicles managed by professionals, allowing investors to own diversified portfolios of stocks, bonds, or other securities. Prices are set once daily after market close.

Net Asset Value

The per-share value of a mutual fund or ETF, calculated by dividing the total value of all securities in the portfolio by the number of outstanding shares.

YTD (Year to Date)

The period beginning January 1 of the current year through the present date. Used to measure investment performance over the current calendar year.

ROI (Return on Investment)

A performance measure used to evaluate an investment's efficiency or profitability. Calculated by dividing the benefit (return) by the cost of the investment.

DCA (Dollar Cost Averaging)

An investment strategy involving regular, fixed-dollar investments regardless of market conditions. Helps reduce the impact of market volatility and removes emotional decision-making from investing.