WORD OF THE DAY: BACKTESTING - Generally, it refers to the process of comparing predictions from a forecasting model to observable data. A model may use historical inputs after which the mode's forecast is compared to the actual ou ... More
1. ) The percentage of current period earnings retained by the firm as opposed to being paid out as dividends or partners’ withdrawals. This is calculated by the after-taxnet income minus dividends then divided by the after-taxnet income. This is not to be confused with retained earnings, a name for the quantity on the balance sheet that includes the accumulated total of earnings retained.
Fund Letters
