What is 'Interest Rate'? | Freetrade Dictionary

More terms

ESG investing

ESG is a hot topic right now for investors. Understand what ESG investing is all about and how you can use it to diversify your portfolio.

Time Value of Money

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

Value Investing

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

Total Return

This is the measurement of a fund’s performance in a specific period.

Accrued interest

The interest earned on a gilt since the last dividend date. When buying a gilt, the buyer pays the accrued interest at the time of a transaction to the seller in addition to the clean price of the gilt

Synthetic ETFs

An ETF that that reproduces the return of an index through the use of swaps.

Collective investment scheme

Learn what's a collective investment scheme

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.

Compound interest

Understand what compound interest means and how it's calculated

Interest Rate