A plan in which the amount is paid to a policyholder if he outlives the tenure of the contract or to the beneficiary if the insured person dies before the date on which the policy matures.

Developing economies such as those in Latin America and Asia that do not have a long history of equity investment and stable, reliable returns. Speculative investors prepared to accept a higher level of risk see such markets as having attractive potential for rapid growth. See also mature markets.

A way of measuring the current value of future profits. Embedded value represents the total of the profits expected to emerge in the future and the net assets already invetsed in the business. See also European embedded value.

A financial performance measure used to evaluate a company's true profit and the creation of wealth for shareholders.

Earnings per share - net profit attributable to shareholders holding ordinary shares divided by the number of shares issued - is a guide to how well a company is performing. Companies often use a weighted average of shares outstanding over the reporting term.

Another word for profit. Broadly calculated as revenues minus costs, operating expenses and taxes, minority interests, extraordinary items and dividends on preference stock.

Premium payments received by an insurer for cover provided during the current accounting period. Premiums received for future insurance coverage are known as unearned premiums.

Insurance contract is issued on the basis that the applicant truthfully and fully discloses everything he or she knows about his or her health. This arises from the recognition that the insurance company is in a disadvantageous position, as the insurer does not know anything about the applicant. Similarly, the insurance company should deal with the applicant with honesty and integrity.

Fixed or variable amounts collected automatically from a bank account for premiums, investment contributions and other regular payments.

Financial instruments that gives the investor the option to buy or sell an asset. Derivatives include futures and options contracts. Futures contracts require delivery of a commodity or currency at a specified date. Options entitle the holder to buy or sell shares or commodities at a fixed price within a given period of time.