- Equities are stocks and shares. They are a share in the ownership of the company. In return for owning stocks, you get a share of any profits (called a dividend) and the possibility that the value of your shares will increase over time. But they carry risk: there is no guarantee share value will go up (it could also go down), or that a company will pay out a dividend.
Click here for our guide on investments.
- Exchange-traded funds are funds that can be traded on the stock exchange much like stocks. Most ETFs are passive funds, and as a result, the fee charged will typically be lower than that of an active fund.
Click here for our guide to different types of funds.