Flywheel Portfolio - Glossary of Terms

The total amount of money one has on the Groundfloor platform.

Account

A unique ledger statement showing all activity and investments.

Account Value

Represents the sum of all investments in the account as well as cash.

Accrued Interest

A return that has been earned but not yet paid. Only applicable for certain

securities such as Notes.

Activity

Describes any transaction on the platform

Activity Amount

Dollar value corresponding to a transaction

Available Cash

The total cash that can be deployed or withdrawn

Capital Balance

The total cash that can be deployed or withdrawn. This is the cost basis for any investment. The initial amount invested is shown

as a negative value, e.g. ($100). A repayment of this amount, in whole or part, will reduce the balance while any additional contribution or reinvestment will

increase the balance. The capital balance will be reduced to zero over time.

Cash Yield

Actual cash return for a given period

Contribution

Transfer in of cash onto the platform/account

Distribution

A disbursement of funds from an investment that is comprised of a principal

repayment and investment income.

Initial Investment

The first dollar amount put to work in an investment, aka Principal amount.

Interest Income

Interest is the term used to describe the return on investment that comes from any type of debt instrument. This includes amounts that have been accrued but not yet paid.

Investment Income

The return generated by your investment. Also referred to as Interest Income,

Earnings, Dividends or Accrued Interest*.

Represents your initial investment plus all subsequent contributions and reinvestments minus principal repaid.

Management Fees

The amount charged by the platform and/or sponsor for the product/service

provided.

Operational Expense(s)

Costs, other than management fees, associated with the investment.

Principal Repayment

A reduction of the initial amount invested or cost basis.

Realized Return

Dollars received from holdings within a Portfolio product, individual loan, or other type of investment that comes in the form of interest, dividends, earnings, or

accrued interest.

Reinvestment

Dollar amount received from a distribution (principal and/or investment income)

that is put back to work.

Return of Capital

The portion of the investment return that represents the initial amount invested

(capital balance).

Return on Capital

The portion of the investment return that represents new money generated.

Unrealized Return

Investment income from holdings within a Portfolio product or individual loans that have yet to be completed.

Withdrawal

Transfer out of cash from the platform/account