Mortgage-Backed Securities whose value or payout depends on an underlying pool of mortgages. S-Z Net Asset Value A term associated with mutual funds to denote the total value of the fund expressed on a per share basis. The actual rate of return not adjusted for inflation. Nominal returns contrast with real returns. Passive Describes an investment process which is designed to match a benchmark such as the market.
Passive management is the opposite of active management.
Passive management is associated with low fees and turnover. Principal A sum of money invested as capital. This term contrasts with income. Return A measure of performance usually based on the profit per dollar invested. Same as return.