/

Inflation

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.

More terms

Capital

Learn what financial capital means

Hypothesis Testing

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

Withholding Tax

A tax deduction made at the source of the payment.

Diversification

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

LSE

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

Balance sheet

A summary of a company's finances, including its assets, liabilities and shareholder equity.

Key Information Document (KID)

A document issued by an investment fund to help investors determine if it's the right fund for them.

Rate of Return

Profit on an investment, expressed as a percentage of the investment.

Clean price

The quoted price of a gilt, which excludes accrued interest

You’re just minutes away from commission-free investing

When you invest, your capital is at risk

Freetrade does not provide investment advice and individual investors should make their own decisions or seek professional advice. The value of investments can go down as well as up and you may receive back less than your original investment. Freetrade is a trading name of Freetrade Limited, which is a member firm of the London Stock Exchange and is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales (no. 09797821).

© 2025 Freetrade, All rights reserved. The Apple logo is a trademark of Apple Inc. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.