Account management fee
Account management fees are the costs you pay for managing your current account. They are incurred monthly and are billed monthly or quarterly.

Advisor remuneration
Is the remuneration for the portfolio manager's advisory services.

Advance-decline line
The advance-decline line (AD line for short) is a historical time series that provides information about the trend behavior of a market/index. The current value of the AD line results from the cumulative difference between the stocks that rose on the previous day ("advancers") and the stocks that fell on the previous day ("decliners"). The weighting of the individual stocks and the intensity of the price increase are not taken into account. A trend is intact if the market and the AD line are moving in the same direction.

All-in fee
An "all-in fee" is a percentage fee that indicates all costs incurred in connection with a fund investment, with the exception of the front-end load. In particular, the all-in fee includes the management and custodian bank fees.

Annual return
The return is the annual income that an investment has actually generated. The return is expressed as a percentage of the capital invested. For example, if someone has invested EUR 1,000 and the investment yields EUR 30 in a year (e.g. through interest on credit balances), the return is three percent.

Asset allocation
Term for the allocation (diversification) of invested assets across various asset classes, such as bonds, equities, real estate, currencies and precious metals.

Asset allocation as a percentage of the total portfolio for funds of funds
The asset allocation as a percentage of the total portfolio provides a detailed overview of how the total invested capital is allocated to different asset classes, regions or individual securities. The basis of this presentation is that the individual securities contained in the investment funds, known as target funds, are disclosed transparently and included in the overall picture on a pro rata basis. This makes it possible to see what proportion of the portfolio is invested in equities, bonds or other forms of investment.

1. Determining the percentage breakdown
   In order to obtain as complete and accurate a picture of the portfolio as possible, all positions contained in the target funds are broken down and converted proportionately to the overall portfolio. This allows overlaps and cluster risks to be identified and the diversification of the portfolio to be assessed. The information is always given as a percentage of the total value of the portfolio and shows how high the respective share of a particular asset class or value actually is.
    

2. Transparency across the target funds
   This method not only looks at the direct allocation, but also goes one level deeper: it analyzes the specific securities in which the individual target funds invest. This reveals which companies, sectors or countries are actually represented in the portfolio at the end of the day. This gives a much more precise picture of the asset allocation than if you limit yourself exclusively to the "fund" category.
    

3. Delimitation: Positions not included
   It should be noted that positions in derivatives and futures are not included in this analysis. The focus is on the securities and traditional asset classes actually held.
    

4. Purpose and benefits of the percentage asset allocation
   This percentage presentation gives investors a transparent and comprehensible picture of the structure of their portfolio. They can see at a glance how broadly diversified their assets are, how high the proportion of equities or bonds is and whether the portfolio matches their own risk appetite. The analysis helps them to make well-founded investment decisions and to manage the composition of their portfolio in a targeted manner.

Asset manager
According to banking supervisory law, the correct term in Germany is financial portfolio management. Asset managers actively make investment decisions for private and institutional investors. They buy and sell shares and other financial products, as well as tangible assets such as real estate.

Asset manager fee / asset management fee
If you engage an asset manager, you will incur fees, profit sharing or flat-rate fees in addition to the basic fees, depending on the agreement. The asset manager is authorized to make and implement investment decisions in the interests and on behalf of their clients. He is remunerated for this.

ATE
Accumulated distribution-equivalent return.

Balance sheet and earnings analysis
In the balance sheet and earnings analysis, the focus in terms of balance sheet quality is on a solid equity ratio and intrinsic value. In terms of a company's earnings power, continuous profit development, a high level of free cash flow and good market positioning with high barriers to market entry are seen as important selection criteria. The quality of the management is also closely scrutinized: Does it have sufficient industry experience? Has it proven itself in times of crisis? The critical assessment of the management is carried out, among other things, through discussions with the company's management on site.

Benchmark index
Indices (e.g. DAX ® - German share index) that are used for comparative analysis of performance with a fund or a fund portfolio.

Beta
Beta is the result of a risk comparison between the fund and the benchmark index. A result of over 1.00 indicates that the fund will tend to outperform when prices rise and underperform when markets fall. A beta of less than 1.00 indicates the opposite.

Bonds
Bonds are fixed-interest securities which the issuer (e.g. federal government, federal states, municipalities, banks and companies) uses to finance itself on the capital market.

Buy zone
If an indicator assumes a value that lies within a defined interval within which the underlying value offers a buying opportunity, this indicator is in the buy zone. Due to their calculation, some indicators can only assume values within a certain interval. The relative strength index moves within a range of 0 and 100. If the indicator moves below 30, it is in the buy zone. Conversely, it is considered overbought if the value is above 70, i.e. in the sell zone.

BVI method
The BVI method is a procedure developed by the German Investment and Asset Management Association (BVI) for calculating the performance of investment funds. It is an internationally recognized standard method that enables a transparent and comparable valuation of funds by taking into account all internal fund costs and reinvesting distributions mathematically.The BVI method does not take into account an investor's individual costs, such as front-end loads or custody fees, as these can vary from provider to provider. The BVI method therefore enables a fair comparison of the performance of different funds, as it creates a uniform basis for calculation.

Call option (short: call)
By paying an option premium, the buyer of a call option acquires the right to buy an underlying asset (share, commodity, etc.) at a fixed price for a certain period of time. He will only exercise the right if the price of the underlying asset is higher than the fixed price. The seller of the call option, on the other hand, undertakes to deliver the underlying asset during the term of the option. He speculates on a falling price of the underlying asset because he then receives the option premium without having to deliver the underlying asset.

Cash flow
Cash flow is the term for an economic measure that represents the net inflow of liquid funds during a period. Cash flow provides information on the liquidity situation of companies, for example.

Cash ratios of investment funds
The cash ratio of an investment fund is the portion of the fund assets not invested in securities. Managing this ratio is a central component of a fund manager's tasks. High cash ratios create flexibility and reduce losses in the event of price setbacks, but also ensure that the fund misses opportunities during upward movements.

Certificates
Derivative financial instruments with which the investor participates in the performance of other investments (e.g. security, share basket, index or another financial product). In addition to the price risk, certificates are also subject to issuer risk.

Company analysis
Fundamental single stock analysis involves the selection of promising shares and bonds. In the equity sector, selected substance and earnings ratios are systematically determined in order to filter out companies with particularly strong balance sheets and good value for money.

Correlation
Correlation is the percentage of a fund's movement that can be explained by movements in its benchmark index. A perfect correlation is expressed by the figure 1.00, a completely negative correlation by the figure -1.00. The more clearly the figure is below 1, the less dependent the fund's return is on the benchmark index. The correlation is also used to determine the significance of beta. The higher the correlation, the more significant the beta, because it becomes clear how much a higher and lower risk figure is based on active fund management or market development.

Country risk
The term country risk covers all risks resulting from the fact that the issuer or counterparty of an investment is domiciled abroad. This includes country-related political, economic and legal risks.

Credit rating
The credit rating describes the creditworthiness and solvency of a debtor (issuer) and is regarded as a benchmark for the security of a bond.

Credit risks
A credit risk is the possibility that a borrower will be unable or unwilling to meet its future payment obligations. A fundamental credit risk always exists with target transactions, i.e. transactions where the mutual performance - in this case payment - does not take place immediately.

Currency risks
Currency risk, also known as exchange rate risk, refers to the risk that an investment in a foreign currency will return less money than expected due to a poorer exchange rate when the investment is liquidated. On the other hand, a better exchange rate also results in currency opportunities.

Custodian and custody account management
The custodian is a bank where the securities and account balances are deposited. A custody account is an account for the booking of securities. Banks, online brokers and fund companies offer custody account management.

Custody account fee
Fee charged by the bank to its custody account customers for its services of safekeeping and managing securities as part of the custody account business. The calculation bases vary and are based on nominal value and market value, holdings and turnover, types of securities, custody type, etc.

DAX
The DAX is the most important German share index. It currently measures the performance of the 40 largest and most liquid companies on the German stock market and represents around 80 percent of the market capitalization of listed stock corporations in Germany. In addition to the DAX, there are other associated indices: MDAX for medium-sized companies, SDAX for small companies, TecDAX for technology stocks and ÖkoDAX for the 10 most traded German companies from the Prime IG Renewable Energies Index, which represents the renewable energies sector.

Debt
In this case, this refers to all liabilities of an economy towards third parties. How a government deals with a country's debt allows conclusions to be drawn about the economic environment. For example, a high level of new debt is often associated with reforms and economic stimulus programs. Government debt also plays a major role in the credit rating of countries.

Derivatives
Derivatives are financial instruments that are settled with a time delay and whose value is derived directly or indirectly from the performance of an underlying asset (e.g. shares, bonds, commodities, currencies). These financial instruments can be executed as purchase, exchange or other financial market transactions.

Duration
Duration is a sensitivity indicator that describes the average period for which capital is tied up in a fixed-interest security. More precisely and in general terms, duration is the weighted average of the times at which the investor/fund receives payments from a security.

Economic analysis
Economic analysis deals with the overall economic situation of an economic area. Key figures on economic performance, income distribution, unemployment and price trends are used for its assessment. The change in the key figures indicates the current economic phase and development.

Economic growth
Economic growth - usually expressed as a percentage change - refers to the change in gross domestic product (GDP). Gross domestic product measures the total value of goods and services in an economy in a given year. As a rule, monthly, quarterly or annual growth rates are given. The growth rates are calculated as the quotient of the relative increase (growth) of the gross domestic product in relation to the value of the gross domestic product in the previous period.

Equity ratio
The equity ratio describes the ratio of equity to total capital (= balance sheet total). Internally, it serves as the basis for financing decisions and externally as an indicator of a company's creditworthiness. As equity is the maximum amount a company is liable for in the event of insolvency, creditors like to use this ratio to assess risk.

ESG
Environmental, Social and Corporate Governance (ESG for short) are criteria and framework conditions of the United Nations (UN) and financial institutions for the consideration of environmental, sustainability and social issues within corporate management, public bodies, governments and authorities. In addition to the interests and needs of companies worldwide, the ESG criteria state that the needs of all stakeholders such as employees, customers, suppliers, financial institutions, NGOs, social and environmental representatives should also be taken into account in the future. The ESG criteria are designed to be embedded in the strategy of all companies worldwide in the future. Global economic value creation should therefore be redistributed among all stakeholders in the future. ESG comprises three key areas that are evaluated when analyzing a company's sustainability performance:

1. Environment
   This aspect relates to a company's impact on the environment, including issues such as climate change, energy efficiency, resource consumption, waste management and pollution. Companies that focus on environmentally friendly practices and minimize their environmental impact are rated positively in the ESG rating. 
    

2. Social
   The social aspect of ESG relates to a company's relationships with its employees, customers, suppliers, communities and other relevant stakeholders. This includes issues such as working conditions, human rights, diversity and inclusion, health and safety in the workplace and community engagement. Companies that act in a socially responsible manner and take care of the well-being of their stakeholders receive positive ratings. 
    

3. Governance
   Governance refers to the way in which a company is managed and controlled. This includes corporate governance, ethics, integrity, transparency, board composition, independent audit and regulatory compliance. Companies with good governance structure and practices are seen as trustworthy and achieve a higher ESG score.

Excess liquidity
Excess liquidity expresses a positive or negative deviation from the real money supply (see "Money supply growth"). Excess liquidity also refers to liquidity that is not directly required by the real economy and is therefore available for investment purposes on the capital markets.

Expected return
The return is the return on an investment that is achieved within a year in relation to the capital invested by the investor. The return is therefore an important aspect for measuring the success of capital investments.

Forward contracts / futures
Forward contracts or futures relate to a specific commodity. They oblige the buyer to deliver or purchase a certain quantity of the underlying asset at a certain point in the future at a price fixed at the time of conclusion. The seller is subject to the same obligations in mirror image.

Futures
Futures are standardized forward contracts on a specific commodity. They oblige the buyer to deliver or purchase a certain quantity of the underlying asset at a certain point in the future at a price fixed at the time of conclusion. The seller is subject to the same obligations in mirror image.

High watermark
The high watermark is the profit level achieved in a mutual fund/asset management mandate that must be exceeded before the manager is entitled to additional profit participation in the investment performance.

Hurdle rate
Calculated basic interest rate for investors. The profit participation for the management is only due once the hurdle rate has been exceeded.

Indicative unit price
Calculated value of the fund assets divided by the total number of units issued on a specific reporting date.

Inflation
Inflation is the rate of change in the prices of selected goods. This indicator is one of the most important in macroeconomics because it has a significant influence on the currency of an economic area and therefore also on the cost of living and foreign trade, among other things. Sharply rising prices reduce the value of a currency and vice versa. Controlling the inflation rate is one of the central tasks of central banks.

Inflation trends
Inflation trends generally attract a great deal of attention. In the run-up to the publication of current inflation rates, numerous forecasts are made which then reflect the inflation expectations of market participants. If inflation develops contrary to expectations, this can change the ECB's policy. Unfulfilled expectations are often accompanied by exaggerated fluctuations on the financial markets.

Interest rate development
In this case, interest rate development refers to the development of the key interest rate of the European Central Bank. This is the interest rate at which commercial banks can exchange collateral (securities) for central bank money. The commercial banks finance the costs incurred there with the interest income they receive for lending to their customers. For this reason, the key interest rate has a major influence on the economy and the financial markets: if it rises, the banks pass on the increased costs to their customers. High borrowing costs reduce demand and influence the willingness to invest and purchasing power. Falling interest rates make fixed-interest investments less attractive for investors, which has a positive effect on the stock markets.

Investment fee
The investment fee is payable once with each payment and is deducted from the investment amount, which reduces the amount available for investment.

Investment grade
Characteristic of a security that has a minimum rating of BBB (Standard & Poor's) or Baa (Moody's) or higher.

Issue premium
Is a premium or surcharge that can be charged in addition to the purchase price for certain types of transaction. It is a premium on the nominal value.

Issuers (issuers)
Issuers are institutions that issue securities or similar documents on the money or capital markets or have them issued for the purpose of raising capital. These can include governments, state and supranational organizations and companies.

Key risk figures
Investments in funds involve a certain degree of risk. The greater the potential returns, the higher the corresponding risk. This is where the investor decides what profits he wants to achieve and how high the risk should be. Risk ratios make it possible to compare different funds with the same or similar investment horizons. These risk ratios include beta, correlation, maximum drawdown, sharp ratio, tracking error, Treynor ratio, value at risk and volatility.

KVG
Capital management company (under German law).

Large caps
Large caps are stock corporations with a high market capitalization. They are usually shares in large, international, well-known and respected companies with a high level of solidity and creditworthiness, which are characterized by strong substance and earnings.

Lending
When granting a loan, the bank gives its customer a certain amount of money and at the same time demands repayment in accordance with the repayment schedule. When the loan amount is paid out to the customer, more money comes into circulation, which is available for investment and consumption. A high level of lending can therefore have a positive influence on the economic development of an economy.

Long/short
Long and short are used to describe buy and sell positions in trading transactions. Buyer positions are called "long positions" and seller positions "short positions". The holder of a long position therefore expects prices to rise, while the holder of a short position expects prices to fall.

Management fee
Is the fee charged for managing the fund portfolio.

Management risk
Management risk refers to negative fluctuations in value, measured in absolute terms or relative to a benchmark index, due to incorrect investment decisions by the manager of an actively managed investment fund. This risk does not apply to index funds and index certificates.

Market entry barriers
Market entry barriers are obstacles that partially or temporarily protect a company already operating in the market from competition from other companies. These are often high initial investments, economies of scale, technological advantage, regional advantages, market power or patents.

Market positioning
The fund manager designs his portfolio according to his opinion of a market. In an economic downturn, for example, cash quotas are increased and shares in qualitatively and substantially strong companies are held, while growth-oriented and cyclical companies are often preferred when the economic outlook is positive.

Maximum drawdown
Maximum cumulative loss within the period under review that would have been incurred if the investor had invested at the worst time (highest price) and sold at the worst time (lowest price) within this period. At DJE, this value refers to the period of one year.

Mid caps
Mid caps are stock corporations with a medium-high market capitalization, e.g. MDAX participants in Germany.

Modified duration
This indicates the percentage by which the bond price changes if the market interest rate level changes by one percentage point; it therefore measures the price effect triggered by a marginal change in interest rates and thus represents a kind of elasticity of the bond price to the market interest rate.

Momentum
Momentum is an important parameter in technical analysis. It provides information about the speed and strength of price movements and trend reversals. It is calculated by continuously dividing the current price by the price x days ago. The result is a curve (the momentum curve) whose shape depends on the selected period length x. Chart technicians generally choose a setting of 12-30 days for short-term and 20-35 days for longer-term observations. The momentum curve can be analyzed like a chart. Turning points in the lower area of the curve can be interpreted as buy signals, while turning points in the upper area can be interpreted as sell signals.

Money supply growth
The amount of money in circulation is a control parameter used by central banks in an attempt to ensure price stability.

MSCI World EUR
So-called world equity index: The MSCI World Index is an equity index that invests in the world's largest companies from 23 industrialized countries. While the MSCI World is calculated in US dollars, the MSCI World EUR is calculated in euros.

Net asset value
The net asset value is calculated by the custodian bank. It is the sum of all valued assets less all liabilities. The net asset value of a unit corresponds to the net fund assets divided by the number of units in circulation. The net asset value per unit of an investment fund corresponds to the redemption price, unless a redemption fee is charged.

Ongoing performance
The term "performance" refers to the change in value of an investment within a defined period of time. The term is often understood in the sense of performance. Performance can be determined for all types of investments and trading goods, including indices and key figures. Performance is generally the change in the value of an investment over a certain period of time. It can be expressed in absolute terms - as the difference between the values at the beginning and end of the period under review - or in relative terms - as a percentage. The term "performance" is often used synonymously with "performance" or "return". In this sense, the performance then shows the investment success or the investment result. Sometimes, however, "performance" also generally refers to the value achieved by an investment. It also includes deposits and withdrawals made in the meantime and is not purely a measure of success, but a term for the development of assets.

Outperformance
This is the excess return achieved in relation to the benchmark index, an alternative investment or a defined performance.

Overall market valuation
In addition to the valuation of individual securities, analysts are also concerned with the valuation of overall markets. This can be a country or sector, for example. Based on various macroeconomic factors, a statement is made as to whether a market offers investment opportunities.

Overlay investment
Overlay generally refers to strategies in which financial derivatives are managed separately from the respective assets or funds for hedging or positioning purposes.

Payout plan
With a payout plan, the investor agrees that a certain amount of money will be paid out of his investment fund in monthly installments or at other intervals within an individually selected term. This can be a fund withdrawal plan or a bank payout plan, for example.

Performance fee
The performance fee is a fee that is charged as a type of management fee. The performance fee is calculated based on the performance achieved.

Price index
A price index reflects the pure price performance of a selection of shares. The counterpart to the price index is the performance index, which takes dividend distributions into account in addition to price performance. Apart from the DAX, major benchmark indices are generally published as price indices. This should be taken into account when making comparisons.

Price-to-book ratio
The price-to-book ratio (P/B ratio or P/BV) is a valuation indicator that compares the share price of a company with the book value per share. The book value corresponds to the equity of a company (assets minus liabilities). If the current P/B ratio is above average compared to that of other companies or to the company's own history, the company is considered expensive according to this ratio and is to be classified as unattractive from a valuation point of view.

Price/cash flow ratio
The price/cash flow ratio (KCV or KCF) is a valuation indicator that compares the share price of a company with the cash flow per share. See above for an explanation of cash flow. If the current KCV is above average compared to that of other companies or to the company's own history, the company is considered expensive according to this ratio and is to be classified as unattractive from a valuation point of view.

Price/earnings ratio
The price/earnings ratio (P/E ratio) is a valuation indicator that compares a company's share price with its earnings per share. If the current P/E ratio is above average compared to that of other companies or to the company's own history, the company is considered expensive according to this ratio and is to be classified as unattractive from a valuation perspective.

Put-call ratio
In securities trading, the put-call ratio (PCR) is one of the timing indicators used to value securities. It compares the put options traded with the call options. If put options predominate, this indicates negative market sentiment. If calls predominate, this indicates positive market sentiment. When looking at the put-call ratio, it should be noted that there is normally less demand for puts than calls. If the PCR is therefore balanced, this is already seen by many market participants as a sign of rather negative market sentiment.

Put option (short: put)
The buyer of a put option acquires the right to sell an underlying asset (share, commodity, etc.) at a fixed price for a certain period of time by paying an option premium. He will only exercise the right if the price of the underlying asset is below the fixed price. In this way, he hedges against falling prices and limits his maximum risk. The seller of the put option, on the other hand, undertakes to buy the underlying asset during the term of the option. He speculates on a rising price of the underlying asset because he then receives the option premium without having to take delivery of the underlying asset.

Residual term
The residual term is a key criterion in the analysis and valuation of bonds within a securities portfolio. It provides information on how long it takes for a bond to reach its maturity date and for the invested capital to be repaid to the investors. The remaining term influences numerous aspects of portfolio management - from interest rate sensitivity and the risk profile through to liquidity planning and income forecasts.

Risk classes
Since July 1, 2011, every fund company has been required to prepare investor information ("information leaflets") for funds launched in Germany. According to this, each investment fund is classified on a risk scale from 1 (low risk with potentially lower return) to 7 (high risk with potentially higher return).

Risk of price losses
The general market risk means that there is a risk of a loss. This loss results from an overall movement in the market. "Overall movement" here means that the market moves as a whole, i.e., for example, that all German shares are exposed to a price loss.

Rolling performance
The rolling performance shows a performance success, which is presented periodically and updates a result that has already occurred on the basis of new fund prices.

Savings plan
In principle, a savings plan is a standing order or direct debit for the regular purchase of securities.

Sell zone
If an indicator assumes a value that lies within a defined interval within which the underlying value offers a selling opportunity, this indicator is in the sell zone. Due to their calculation, some indicators can only assume values within a certain interval. The relative strength index moves within a range of 0 to 100. If the indicator moves above 70, it is in the sell zone. Conversely, it is considered oversold if the value is below 30, i.e. in the buy zone.

Sentiment indicators
' Opinion surveys of investment fund managers and institutional investors
' Cash ratios of investment funds
' Short positions of hedge funds
' Optimistic and pessimistic stock market letters
' Put-call ratio

Shares
A share is a security that securitizes a share in a stock corporation (AG) or a partnership limited by shares (KGaA). By acquiring a share, investors become co-owners of the respective company. This distinguishes shares fundamentally from other forms of investment such as bonds, where capital is only provided as a loan.

Shares above the 200-day line
This indicator provides information about the phase a market is currently in. If many shares are quoted above the 200-day line, the market is in an upward trend. Conversely, a downward trend can be derived from this. Extreme values close to 100 % or 0 % can indicate that an existing trend is already well advanced and a correction is more likely.

Sharpe ratio
The idea behind this is to use a ratio to provide a way of comparing the return and risk between different investments. The Sharpe ratio describes the extent to which the return on an investment was above the risk-free interest rate (DJE uses the EURIBOR 1 month) and the standard deviation (volatility) at which this return was achieved. The following rule of thumb applies here: the higher the Sharpe ratio, the better the investment.

Short positions of hedge funds
The function of short positions is described in the section "Long and short". This section explains how short positions of hedge funds can be used as a sentiment indicator. If there are a large number of short positions in a market, this suggests that the fund managers are very negative. From an anticyclical point of view, this would be a buy argument based on the statement "at some point sentiment must become more positive again". An improvement in sentiment would lead to fund managers closing out their short positions and thus causing prices to rise (see "Long and short") or opening more long positions again.

Small caps
Small caps is the term for smaller stock corporations with low equity.

SRI
The SRI (Summary Risk Indicator) is a 7-level risk classification system specified by financial product providers. In addition to the fluctuation margin, this indicator also takes into account the expected value of the return and statistical key figures. This indicator is a combination of a market risk measure (MRM, range: 1 [low risk] to 7 [high risk]) and a credit risk measure (CRM, range: 1 [low risk] to 6 [high risk]). As the PRIIPs Regulation relates to a broad universe of products, the regulatory authority has divided these into 4 categories. The MRM is calculated differently depending on the PRIIP category.

Standard deviation
Standard deviation (volatility) is the most widely used measure of risk in the investment world. It is a mathematical quantity that is used as a measure of the risk of an investment. As a key figure, it indicates the intensity of fluctuation of the unit price within a certain period - in the case of DJE within two years. The higher the standard deviation, the higher the risk but also the greater the opportunities of an investment in this fund.

Target funds
Individual investment funds that are included in the fund assets of other investment funds (e.g. fund of funds, equity funds).

TER
The TER (Total Expense Ratio) is a key figure that provides information on the annual costs incurred by an investment fund in addition to the front-end load.

Tracking error
Tracking error is an indicator of the similarity between the performance of the fund and its benchmark index. The lower the tracking error, the more closely the fund manager follows an index, such as the MSCI World. Index funds have a tracking error close to zero. Actively managed funds, on the other hand, have a relatively high tracking error.

Transaction fee / transaction charges / transaction cost fee
This refers to the fees incurred when buying and selling securities. These are mainly commissions from the bank or broker. Brokerage fees and fees charged by the respective stock exchange may also be added. Custody account fees, on the other hand, are not included in transaction costs.

Transfer fee
With an investment amount of EUR 1,000, the individual investment result on the first day is reduced by the transfer fee of EUR 65.00 (6.50 %), which reduces the amount available for investment. In addition, individual annual custody account costs may be incurred which reduce the performance.

Trend indicators
' Advance-decline line (difference between rising and falling shares)
' Percentage of shares above the 200-day line
' Difference between new highs and lows
' Amount of stock market loans

Treynor ratio
This measures the excess return of a fund compared to a risk-free form of investment and divides the resulting difference by the sensitivity of the fund price to market fluctuations, the beta. It thus reflects the excess return - compared to a risk-free investment - per unit of risk.

Value at risk
The question here is how high the maximum expected loss is that can arise on the market under normal conditions. The value at risk can be described as the probable change in the present value of a portfolio. The calculation is made for a specific period and a specified probability level. For example, with a 99% probability interval, there is a residual probability of 1% that the actual losses will exceed the loss limit (value at risk) for a specific period (20 days in the case of DJE).

VG
Management company (e.g. under Austrian or Luxembourg law).

Volatility
See standard deviation.

Watch list
A watch list is used to collect securities that are interesting in principle but do not currently represent an investment alternative for specific reasons. Nevertheless, it is worth keeping an eye on these stocks so as not to miss a change in the situation. A condition (price mark, fundamental event, etc.) is often defined that must be met in order to justify a purchase.