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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Annualised Rate of Return

The average annual return an investor sees over a set period of time.
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Exchange-Traded Fund (ETF)

A collection of investments, pooled into a single fund that can be bought and sold on a stock exchange.
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Xetra

A trading venue operated by the Frankfurt Stock Exchange.
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Depository

We look at what is a depository and what role they play in keeping markets work.
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Investment Trust

A company that pools money together from multiple investors and then invests it.
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Professional Client

An investor that is able to meet several regulatory criteria.
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Income statement

A summary of a company's income and expenses over a set period of time.
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LSE

London Stock Exchange, which was founded in 1571 and now has a market cap of almost $5 trillion.
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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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