Financial & Math Glossary
100 terms explained in plain English
A
APR (Annual Percentage Rate) The yearly cost of borrowing including interest and fees, expressed as a percentage. Amortization The process of paying off a loan through regular payments that cover both principal and interest. Aspect Ratio The proportional relationship between the width and height of an image or screen. AMRAP As Many Reps/Rounds As Possible — a workout format used in CrossFit and strength training. Algorithm A step-by-step procedure for solving a problem or accomplishing a task. Area The amount of space inside a two-dimensional shape, measured in square units. API (Application Programming Interface) A set of rules allowing different software programs to communicate with each other. Amortization APR vs APY Asset Allocation API (Application Programming Interface)
B
BMI (Body Mass Index) A ratio of weight to height used to screen for weight categories. Weight (kg) divided by height (m) squared. Binary A base-2 number system using only 0 and 1, the foundation of all digital computing. Body Fat Percentage The proportion of total body weight that is fat tissue, measured as a percentage. Bear Market A sustained decline of 20% or more in stock prices from recent highs. Bull Market A sustained rise of 20% or more in stock prices, typically lasting years. Bandwidth The maximum rate of data transfer across a network connection, measured in Mbps or Gbps. Basal Metabolic Rate (BMR) Body Mass Index (BMI) Bandwidth vs Latency Board Foot
C
Compound Interest Interest calculated on both the initial principal and the accumulated interest from previous periods. Calorie Deficit Consuming fewer calories than your body burns, forcing it to use stored energy (fat) for fuel. Correlation A statistical measure of how two variables move in relation to each other, ranging from -1 to +1. CAGR (Compound Annual Growth Rate) The average annual growth rate of an investment over a period longer than one year. Cloud Computing Delivering computing services over the internet instead of using local hardware. Circumference The distance around the outside of a circle. CSS (Cascading Style Sheets) The language used to style and layout web pages — controlling colors, fonts, spacing, and positioning. Capital Gains CDN (Content Delivery Network) Cubic Yard
D
Down Payment The upfront cash you pay when purchasing a home or car, reducing the loan amount. Due Date (Pregnancy) The estimated date of delivery, calculated as 280 days (40 weeks) from the first day of the last menstrual period. DNS (Domain Name System) The system that translates human-readable domain names into IP addresses. Dollar-Cost Averaging (DCA) Investing a fixed amount at regular intervals regardless of market price. Dividend A portion of a company profits paid out to shareholders, usually quarterly. Debt-to-Income Ratio (DTI) Dollar-Cost Averaging DNS (Domain Name System)
E
Equity The portion of an asset you actually own — market value minus what you owe. ETF (Exchange-Traded Fund) A basket of investments that trades on a stock exchange like a single stock. Escrow A third-party account that holds funds until specific conditions are met in a transaction. Exponent A number indicating how many times a base number is multiplied by itself. Encryption The process of converting readable data into unreadable code to prevent unauthorized access. Escrow
F
G
H
Hexadecimal Color Code A 6-character code representing a color as red, green, and blue values in base-16. HSA (Health Savings Account) A triple-tax-advantaged account for medical expenses available with high-deductible health plans. HELOC (Home Equity Line of Credit) A revolving credit line secured by your home equity, similar to a credit card. HTTP Status Codes Three-digit numbers returned by web servers indicating the result of a browser request.
I
L
M
Macronutrients (Macros) The three nutrient categories that provide calories: protein (4 cal/g), carbs (4 cal/g), and fat (9 cal/g). Mortgage A loan used to purchase real estate, secured by the property itself as collateral. MET (Metabolic Equivalent) A unit measuring the energy cost of physical activity relative to resting. Macros (Macronutrients) The three main nutrients that provide calories: protein, carbohydrates, and fat. Median The middle value in a sorted dataset, unaffected by extreme outliers. Mode The most frequently occurring value in a dataset. Macronutrients Mean, Median, Mode
P
PMI (Private Mortgage Insurance) Insurance required when your down payment is less than 20%, protecting the lender if you default. Percentage A number expressed as a fraction of 100, used to describe proportions, changes, and comparisons. Progressive Overload The principle of gradually increasing training stress to force continued adaptation. P/E Ratio (Price-to-Earnings) A stock valuation metric comparing share price to annual earnings per share. Periodization Systematic planning of athletic training by varying volume and intensity over time. Probability Pythagorean Theorem
R
ROI (Return on Investment) The percentage gain or loss on an investment relative to its cost. Refinance Replacing an existing loan with a new one, typically at a lower rate or different term. Roth IRA A retirement account where contributions are taxed now but withdrawals in retirement are tax-free. RPE (Rate of Perceived Exertion) A subjective scale from 1-10 measuring how hard an exercise feels. Ratio A comparison of two quantities showing how many times one contains the other. R-Value (Insulation)
S
Subnet Mask A number that defines which portion of an IP address identifies the network vs the individual device. Sleep Cycle A 90-minute pattern of four sleep stages that repeats 4-6 times per night. SSL/TLS Encryption protocols that secure data transmitted between browsers and websites. Subnet Mask A number that defines which portion of an IP address identifies the network vs the host. SSL/TLS Standard Deviation