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Learn about the differences between these two words and how each one is used in the stock market.

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Hot Definitions
  1. Whole Life Insurance Policy

    A life insurance contract with level premiums that has both an insurance and an investment component. The insurance component ...
  2. Compound Annual Growth Rate - CAGR

    The Compound Annual Growth Rate (CAGR) is the mean annual growth rate of an investment over a specified period of time longer ...
  3. Capital Asset Pricing Model - CAPM

    A model that describes the relationship between risk and expected return and that is used in the pricing of risky securities. ...
  4. Internal Rate Of Return - IRR

    A metric used in capital budgeting measuring the profitability of potential investments.
  5. Current Ratio

    The current ratio is a liquidity ratio that measures a company's ability to pay short-term and long-term obligations.
  6. Return On Investment - ROI

    A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different ...
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