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

UK Treasury bill

A debt instrument issued by the UK government with a maturity of less than one year.
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Maturity value

What's the maturity value of a bond?
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Professional Client

An investor that is able to meet several regulatory criteria.
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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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Geometric Mean Return

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

A measure of how much the prices of an asset or index vary over time.
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Packaged Retail and Insurance-based Investment Product (PRIIP)

An investment where, regardless of its legal form, the amount repayable to the retail investor is subject to fluctuations.
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Junk Bond

A form of debt investment that carries higher risk because of the likelihood that the issuer will default.
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ESG investing

ESG is a hot topic right now for investors. Understand what ESG investing is all about and how you can use it to diversify your portfolio.
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