Maturity date

The date on which a gilt is redeemed and the gilt holder receives the repayment of the nominal amount and final dividend or coupon payment.

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Packaged Retail and Insurance-based Investment Product (PRIIP)

An investment where, regardless of its legal form, the amount repayable to the retail investor is subject to fluctuations.
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Retail Prices Index (RPI)

An index published each month by the Office for National Statistics, which measures the level of retail prices in the UK. Cash flows on all index-linked gilts are linked to the RPI.
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Geometric Mean Return

A way of calculating compound returns on an investment or savings over a set period of time.
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Hypothesis Testing

A mathematical test used to determine whether a claim is true or false.
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Value stocks

Stocks in companies that aren’t necessarily growing fast, but instead are dependable and stable.
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Conventional gilts

Gilts where the dividends and principal repayments are fixed in nominal terms. This is as opposed to an index-linked gilt where the dividends and principal repayments are related to movements in the Retail Prices Index (RPI).
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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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Wall Street

A street in New York that became a figure of speech for the financial markets of the US.
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Free Trade

The other free trade. International trade in which countries allow goods to flow across their borders without imposing import or export taxes.
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