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Conventional gilts

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).

More terms

Yield to maturity (YTM)

What is yield to maturity and why is it useful?

Leverage

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

Oligopoly

A situation in which a market or industry is controlled by a small group of companies.

Quantitative easing

Find out what quantitative easing is and how central banks use this monetary measure to encourage economic growth.

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.

Hedge Fund

Investment funds that are often associated with riskier and shorter-term trading strategies.

Time Value of Money

The concept that money you have now is more valuable than the same sum in the future.

Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.

NASDAQ

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

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