Retail Prices Index (RPI)

An index published each month by the Office for National Statistics, which measures the level of retail prices in the UK. Cash flows on all index-linked gilts are linked to the RPI.

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Securities

Bonds and stocks.
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Real Estate Investment Trust (REIT)

An investment trust specialised in investing in commercial property such as parking garages or GP offices.
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Rate of Return

Profit on an investment, expressed as a percentage of the investment.
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Stock Market

A place where shares of publicly listed companies are traded.
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Yield to maturity (YTM)

What is yield to maturity and why is it useful?
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Balance sheet

A summary of a company's finances, including its assets, liabilities and shareholder equity.
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Wall Street

A street in New York that became a figure of speech for the financial markets of the US.
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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
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Running yield

The annual interest payment (dividend) divided by the current market price of a bond.
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