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

More terms

Margin call

Learn what a margin call stands for in financial terms.

Net Asset Value (NAV)

The value of a company's assets relative to the number of shares it has.

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.

Junk Bond

A form of debt investment that carries higher risk because of the likelihood that the issuer will default.

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.

Time-Weighted Rate of Return (TWRR)

A return calculated over the time period invested, that excludes extraneous elements, such as deposits to and withdrawals from the investment accounted.

DMO

The United Kingdom Debt Management Office. It’s an executive agency responsible for managing the government’s debt and cash needs, primarily through issuing gilts and Treasury bills.

Withholding Tax

A tax deduction made at the source of the payment.

UK Treasury bill

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

Over-The-Counter (OTC)