Dirty price

The total price payable on the purchase of a gilt. It’s calculated as the clean price plus accrued interest.

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Internal Rate of Return (IRR)

A means of calculating the potential future return on an investment.
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Hedge Fund

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

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

A place where shares of publicly listed companies are traded.
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Alpha

The percentage by which an investor outperforms a relevant benchmark.
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Value Investing

The art of buying shares which trade below their value, according to the analysis of the value investor.
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After-hours trading

Trading outside of a stock exchange's opening hours.
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Time-Weighted Rate of Return (TWRR)

A return calculated over the time period invested, that excludes extraneous elements, such as deposits to and withdrawals from the investment accounted.
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