What is 'Venture Capital Trust (VCT)'?

More terms

Over-The-Counter (OTC)

A security that is sold outside of an exchange.

Compound interest

Understand what compound interest means and how it's calculated

Geometric Mean Return

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

Net asset value

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

Equity

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

Interest Rate

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.

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).

Yield

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

American Depository Receipt (ADRs)

Tradeable assets that let Americans invest in overseas stocks using US laws and dollars.

Venture Capital Trust (VCT)