Ponzi Scheme

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.

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Stock Exchange

A physical/digital place where stockbrokers and traders can buy and sell securities.
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Prospectus

The official document a company publishes before selling shares to the public. Long, detailed, and worth a read.
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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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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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Net Asset Value (NAV)

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

A tax deduction made at the source of the payment.
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Costs and Charges

The money you pay when investing.
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Interest Rate

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.
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United States Dollar (USD)

The famous greenback our friends in the US use as currency.
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