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.

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Collective investment scheme

Learn what's a collective investment scheme
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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.
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Oligopoly

A situation in which a market or industry is controlled by a small group of companies.
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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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Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.
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Professional Client

An investor that is able to meet several regulatory criteria.
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Dirty price

The total price payable on the purchase of a gilt. It’s calculated as the clean price plus accrued interest.
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UK Treasury bill

A debt instrument issued by the UK government with a maturity of less than one year.
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Hypothesis Testing

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