Prout Financial Design

Terms

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Rate of Return

The rate of return is the gain or loss of an investment over a specified period of time, expressed as […]

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Rating

The basis for an additional charge to the standard premium because the person insured is classified as a greater than

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Real Estate Investment Trusts (REITs)

Publicly traded companies involved in property development, management or sales. REITs cover various segments of the real estate market including

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Redemption

Redemption is the repayment of a debt security or preferred stock, either for par value at maturity or for a

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Reduced Paid-up Insurance

A form of insurance available as a non-forfeiture option. It provides for continuation of the original insurance plan, but for

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Reinstatement

Restoring a lapsed policy to its original premium paying status, upon payment by the policy owner, with interest, of all

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Retained Earnings

Earnings a company reinvests in its core business or to retire debt, after it pays dividends.

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Return on Assets

A ratio calculated by dividing the company’s EBIT (net income) by total assets. The ROA is one of the most

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Revenue

Money collected for providing a product or service. Companies that provide services, such as telecommunications, generally use the term revenue;

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Rider

An endorsement to an insurance policy that modifies clauses and provisions of the policy, including or excluding coverage.

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