What is 'Over-The-Counter (OTC)'? Definition & meaning

More terms

OEIC

Unique to the UK, these funds pool together money to invest from multiple investors.

Accrued interest

The interest earned on a gilt since the last dividend date. When buying a gilt, the buyer pays the accrued interest at the time of a transaction to the seller in addition to the clean price of the gilt

Coupon

Also called a dividend, this is the fixed annual interest paid to gilt holders. It’s usually paid in two equal, semi-annual instalments and expressed as a percentage of the nominal value of the gilt.

After-hours trading

Trading outside of a stock exchange's opening hours.

SPAC

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

Growth stocks

These are stocks in companies that are considered to be “growing”. These companies may be delivering new products and services, or entering new markets.

S&P 500

Find out what is the definition of the S&P 500 index.

Dirty price

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

Quantitative easing

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

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Over-The-Counter (OTC)