What is the 'clean price'? Definition & meaning

More terms

ESG investing

ESG is a hot topic right now for investors. Understand what ESG investing is all about and how you can use it to diversify your portfolio.

Ponzi Scheme

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

Leverage

A method of trading using borrowed money that usually involves a very high level of risk.

52-week high/low

The highest, or lowest, price a share has traded at in a passing year.

OEIC

Unique to the UK, these funds pool together money to invest from multiple investors.

Alpha

The percentage by which an investor outperforms a relevant benchmark.

Coupon

Also called a dividend, this is the fixed annual interest paid to gilt holders. It’s usually paid in two equal, semi-annual instalments and expressed as a percentage of the nominal value of the gilt.

Nominal amount

The face value of a gilt. It represents the amount that will be repaid to the holder at maturity and is also used to calculate the dividend or coupon payment.

Dirty price

The total price payable on the purchase of a gilt. It’s calculated as the clean price plus accrued interest.

Clean price