Extended Internal Rate of Return. A method to calculate returns on investments with irregular cash flows (like SIPs). More accurate than CAGR for mutual fund SIP returns.
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XIRR
Portfolio ManagementMutual Funds
Related terms
AMC
Asset Management Company. A firm that invests pooled funds from investors into securities such as stocks and bonds. Examples in India include SBI MF, HDFC AMC, and ICICI Prudential AMC.
AUM
Assets Under Management. The total market value of investments managed by a mutual fund or portfolio manager. Larger AUM generally indicates investor confidence.
Average Price
The weighted average cost at which you purchased shares of a stock, calculated by dividing total cost by total quantity. Used for P&L calculations in UseMoney.
Beta
A measure of a stock's volatility relative to the overall market. Beta of 1 means the stock moves with the market; above 1 means more volatile; below 1 means less volatile.
CAGR
Compound Annual Growth Rate. The annualized rate of return that smooths out volatility, showing how an investment would have grown if it grew at a steady rate.
Demat Account
A dematerialized account that holds shares and securities in electronic form, eliminating the need for physical certificates. Required to trade on Indian stock exchanges.