Inflation

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

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

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Time Value of Money

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

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

The average annual return an investor sees over a set period of time.
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Spot Rate

The currency exchange rate a bank quotes, valid with immediate effect.
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Float

Listing a company on a stock exchange, or the shares that are genuinely up for grabs once it’s there.
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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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Net Income (NI)

The money a firm is left with from sales after subtracting taxes and different business costs.
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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.
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LSE

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