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Coupon

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.

More terms

UK Treasury bill

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

Junk Bond

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

Quick ratio

Learn what quick ratio stands for in financial terms and how to calculate it.

NYSE

The world's largest stock exchange. Wall St HQ.

Venture Capital Trust (VCT)

A listed company run by a fund manager, investing mainly in private companies.e.

Money laundering

A method of moving money obtained illicitly through the financial system so it can be used legally.

Volatility

A measure of how much the prices of an asset or index vary over time.

Equity ETF

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

Unit Trusts

A collective investment scheme the investors pay money into in exchange for units. The money is invested in a diversified portfolio of assets.

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