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Venture Capital Trust (VCT)

Venture Capital Trust (VCT)

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

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

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Zero-Sum Game

A situation in which one person's gain is another's loss.
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Yield

Income from an investment as a percentage of its current price.
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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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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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Wall Street

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

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.
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Conventional gilts

Gilts where the dividends and principal repayments are fixed in nominal terms. This is as opposed to an index-linked gilt where the dividends and principal repayments are related to movements in the Retail Prices Index (RPI).
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After-hours trading

Trading outside of a stock exchange's opening hours.
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