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Time Value of Money

Time Value of Money

The concept that money you have now is more valuable than the same sum in the future.

The concept that money you have now is more valuable than the same sum in the future.

More terms

Junk Bond

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

A way of calculating compound returns on an investment or savings over a set period of time.
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Hypothesis Testing

A mathematical test used to determine whether a claim is true or false.
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Bed & ISA

Understand what Bed and ISA is and how it works
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Gilt

What is a gilt?
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Accounting standards

The rules a company follows when preparing financial statements.
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Beta

Learn what Beta stands for in finance.
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Rate of Return

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