Dictionary
/
Interest Rate

Interest Rate

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.

More terms

Xetra

A trading venue operated by the Frankfurt Stock Exchange.
Read more

Investment Trust

A company that pools money together from multiple investors and then invests it.
Read more

Hypothesis Testing

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

United States Dollar (USD)

The famous greenback our friends in the US use as currency.
Read more

Hedge Fund

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

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.
Read more

Net Income (NI)

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

Key Information Document (KID)

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

Holding Period Return

The amount of money generated by an asset during the time that it was held by an investor..
Read more

You’re just minutes away from commission-free investing

open an isa
When you invest, your capital is at risk

Freetrade is your gateway to commission-free investing. Join over 1.6 million users using the Best online trading platform, as voted at the British Bank Awards for six years running.

Accounts
Customer Support
Resources
Company
Important information

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).

© 2026 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.

Follow us on