Glossary of wealth management terms

Confused about financial jargon? Use our jargon buster to get a plain explanation of industry terms.


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Passive investing
Passive investing is a strategy focused on achieving long-term appreciation of portfolio values with limited day-to-day management of the portfolio itself.

This is an online service offered by a financial intermediary that allows investments to be bought and sold online.

Politically Exposed Person
A Politically Exposed Person (“PEP”) is a person entrusted with prominent public functions, their family members or persons known to be close associates of such persons regardless of the location of that PEP. Examples of PEPs include political figures, members of the judiciary, diplomatic service officers, managers and supervisors of state owned enterprises and senior ranking military officers.

Portfolio Diversification
A risk management technique, in which an investor holds a wide variety of investments within a portfolio in order to produce higher returns and lower risk.