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Glossary
1678 terms

Glossary

Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.

Showing 3 terms

REIT

Market basics
Also called: Real Estate Investment Trust

Real Estate Investment Trust — a listed trust owning income-producing commercial property, required to distribute the large majority of its rental income to unit-holders.

In plain terms

Commercial property for a few thousand rupees, sellable in seconds. It is not safe the way a building feels safe: the unit price is market-driven, and rising rates hurt it twice.

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Net distributable cash flow

Market basics
Also called: NDCF

The cash a REIT or InvIT has available to hand to unit-holders, the large majority of which the regulations require it to distribute at short intervals.

In plain terms

The reason these units pay out several times what a share does — and the reason a price chart of one omits most of what holding it produced.

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Total return

Market basics

Price change plus dividends, the complete return from holding an asset.

In plain terms

A stock yielding 6% while falling 15% is not producing income. Judge holdings on this, never on yield. On a high-payout instrument such as a REIT it is most of the answer, and none of it is on the price chart.

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Indian stock market glossary · Market Vidyalaya