/

Leverage

Leverage

A method of trading using borrowed money that usually involves a very high level of risk.

A method of trading using borrowed money that usually involves a very high level of risk.

More terms

SPAC

Find our what a SPAc or special purpose acquisition company is.

Clean price

The quoted price of a gilt, which excludes accrued interest

Global Investment Performance Standards (GIPS)

A set of standards which investors use to present their investment results.

Capital

Learn what financial capital means

Running yield

The annual interest payment (dividend) divided by the current market price of a bond.

Rate of Return

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

Custodian bank

Learn what a custodian bank is.

American Depository Receipts (ADRs)

Tradeable assets that let Americans invest in overseas stocks using US laws and dollars.

Diversification

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

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.