What is 'leverage'? Definition & meaning

More terms

Over-The-Counter (OTC)

A security that is sold outside of an exchange.

Running yield

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

Base rate

What's the base rate?

Professional Client

An investor that is able to meet several regulatory criteria.

Gilt

What is a gilt?

Quantitative easing

Find out what quantitative easing is and how central banks use this monetary measure to encourage economic growth.

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.

Nominal amount

The face value of a gilt. It represents the amount that will be repaid to the holder at maturity and is also used to calculate the dividend or coupon payment.

Technical Analysis

Examining price movements of shares and other assets, and trying to predict how they will move in the future.

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Leverage