Here you’ll find a simple explanation of some of the most commonly used investment terms. If there is any other financial jargon you want translated, please call our Customer Service Team free on 0800 597 2525 or email us at email@example.com and they will be pleased to help.
Hedging is a way to protect a Fund’s assets from the effects of exposure to currency or asset fluctuations. Hedging may be done through back to back loans (i.e. borrowing a foreign currency against a Sterling deposit) or, with certain restrictions, financial futures contracts.
A system of pricing where prices are based on the most recent valuation of the Fund, meaning the investor knows the price at which they buy or sell.