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index-linked gilts

Index-linked gilts

Gilts where the dividends and principal repayments are related to movements in the Retail Prices Index (RPI). This is as opposed to a conventional gilt, where the dividends and principal repayments are fixed in nominal terms.

More terms

Junk Bond

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

Value Investing

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

Diversification

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

Inflation

The increase in the prices of goods and services over time, and the process by which money loses its value.

Hypothesis Testing

A mathematical test used to determine whether a claim is true or false.

LSE

London Stock Exchange, which was founded in 1571 and now has a market cap of almost $5 trillion.

Compound interest

Understand what compound interest means and how it's calculated

Time Value of Money

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

SPAC

Find our what a SPAc or special purpose acquisition company is.

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