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.
This is the amount of income an investment delivers after deduction of charges (but not tax) expressed as a percentage of the amount invested. It is usually quoted as an annual figure.
When the distribution yield is higher than the redemption yield it means income is paid at the expense of capital so there may be some loss of capital, but this will be compensated in the meantime by higher income payments.
YTD is a three letter abbreviation for 'Year-to-date' which is a period, starting from the beginning of the current year, and continuing up to the present day. You may find the term YTD when viewing performance statistics in Willis Owen’s research tools or provider factsheets.