Conventional gilt

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).

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Securities

Bonds and stocks.
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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.
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Yield to maturity (YTM)

What is yield to maturity and why is it useful?
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Bond

Learn what a bond is
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Income statement

A summary of a company's income and expenses over a set period of time.
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Maturity date

The date on which a gilt is redeemed and the gilt holder receives the repayment of the nominal amount and final dividend or coupon payment.
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OEIC

Unique to the UK, these funds pool together money to invest from multiple investors.
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Profit and Loss Statement (P&L)

A statement that summarises firm's expenses, costs, and revenues incurred during a time period. AKA income statement.
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Junk Bond

A form of debt investment that carries higher risk because of the likelihood that the issuer will default.
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