Glossary

Understanding financial terms can make it easier to manage your money and make informed decisions. Whether you're new to investing or just need a quick refresher, our glossary provides clear and simple definitions of commonly used financial terms.

Use this resource to build your confidence and get the most out of your financial journey.

With-Profits - refers to a type of investment or insurance policy, where the policyholder shares in the profits of the insurance company.

• You pay premiums into a policy, the insurer invests the money, usually in a mix of stocks, bonds, property, etc.  Profits are shared with you via bonuses:
  • Annual (or reversionary) bonus – added each year the policy is in force.
  • Terminal bonus – a final bonus added when the policy ends (e.g. upon death or maturity).
• It’s designed to offer steady growth with lower volatility, though the final returns can be lower than riskier investments.