What is the 'interest rate'? Definition & meaning

More terms

Growth stocks

These are stocks in companies that are considered to be “growing”. These companies may be delivering new products and services, or entering new markets.

Annualised Rate of Return

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

Dividends

Find out what dividends are and how they can contribute to the growth of your investment portfolio.

Spot Rate

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

Stock Market

A place where shares of publicly listed companies are traded.

DMO

The United Kingdom Debt Management Office. It’s an executive agency responsible for managing the government’s debt and cash needs, primarily through issuing gilts and Treasury bills.

Internal Rate of Return (IRR)

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

Xetra

A trading venue operated by the Frankfurt Stock Exchange.

Coupon

Also called a dividend, this is the fixed annual interest paid to gilt holders. It’s usually paid in two equal, semi-annual instalments and expressed as a percentage of the nominal value of the gilt.

Interest Rate