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Spot Rate

Spot Rate

The currency exchange rate a bank quotes, valid with immediate effect.

The currency exchange rate a bank quotes, valid with immediate effect.

More terms

index-linked gilts

Gilts where the dividends and principal repayments are related to movements in the Retail Prices Index (RPI). This is as opposed to a conventional gilt, where the dividends and principal repayments are fixed in nominal terms.
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Nominal amount

The face value of a gilt. It represents the amount that will be repaid to the holder at maturity and is also used to calculate the dividend or coupon payment.
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Yield curve

A graphical representation of interest rates over time
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Hypothesis Testing

A mathematical test used to determine whether a claim is true or false.
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Clean price

The quoted price of a gilt, which excludes accrued interest
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Total Return

This is the measurement of a fund’s performance in a specific period.
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Volatility

A measure of how much the prices of an asset or index vary over time.
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Collective investment scheme

Learn what's a collective investment scheme
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52-week high/low

The highest, or lowest, price a share has traded at in a passing year.
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