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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Yield curve

A graphical representation of interest rates over time
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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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NASDAQ

A US stock exchange specialising in the shares of technology companies.
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Leverage

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

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

What's the maturity value of a bond?
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Depository

We look at what is a depository and what role they play in keeping markets work.
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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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Know Your Customer (KYC)

A legal requirement for financial firms to understand exactly who their customers are. Used to prevent money laundering and terrorist financing.
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