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Conventional gilts

Conventional gilts

Gilts where the dividends and principal repayments are fixed in nominal terms. This is as opposed to an index-linked gilt where the dividends and principal repayments are related to movements in the Retail Prices Index (RPI).

More terms

Diversification

An investment strategy in which money is put into a variety assets.

Alpha

The percentage by which an investor outperforms a relevant benchmark.

UK Treasury bill

A debt instrument issued by the UK government with a maturity of less than one year.

Free Trade

The other free trade. International trade in which countries allow goods to flow across their borders without imposing import or export taxes.

Yield

Income from an investment as a percentage of its current price.

OEIC

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

Balance sheet

A summary of a company's finances, including its assets, liabilities and shareholder equity.

Equity ETF

An exchange-traded fund that is comprised of a set of stocks.

United States Dollar (USD)

The famous greenback our friends in the US use as currency.

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