What is the 'spot rate'? Definition & meaning

More terms

Know Your Customer (KYC)

A legal requirement for financial firms to understand exactly who their customers are. Used to prevent money laundering and terrorist financing.

Net asset value

Mutual funds and investment trusts are priced on their net asset value (NAV).

Running yield

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

Arithmetic Mean

The sum of a set of numbers added together and then divided by the total amount of numbers in that set.

Withholding Tax

A tax deduction made at the source of the payment.

Venture Capital Trust (VCT)

A listed company run by a fund manager, investing mainly in private companies.e.

Investment Trust

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

Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.

Value stocks

Stocks in companies that aren’t necessarily growing fast, but instead are dependable and stable.

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Spot Rate