Bank liquidity

• The amount of cash banks are required to hold in relation to the amount they

  have in customer deposits.

• The interest rate that the Bank of England uses when it lends money to other

  banks. Financial services providers take account of the Bank rate when they

  decide how to set interest rates on their own products.

Bank rate

• The interest rate that the Bank of England uses when it lends money to other

  banks. Financial services providers take account of the Bank rate when they

  decide how to set interest rates on their own products.

• Goods that share the same characteristics wherever they are produced and

  whoever produces them – unlike a manufactured product, where different

  manufacturers can add specific features. Examples include raw materials such

  as iron ore, gold and silver, or agricultural produce such as wheat and rice.

Commodity

• Goods that share the same characteristics wherever they are produced and

  whoever produces them – unlike a manufactured product, where different

  manufacturers can add specific features. Examples include raw materials such

  as iron ore, gold and silver, or agricultural produce such as wheat and rice.

• Coronavirus disease, known as Covid-19, is a respiratory illness that causes

  mild to moderate symptoms in a majority of cases but proves debilitating or

  fatal for a significant minority. It caused a global pandemic with wide-ranging

  economic effects.

Corporate bond

• A product that companies can use to borrow money over periods of five years

  or more. The company offers a number of bonds for sale; buyers can then sell

  the bonds on to other investors if they wish. A key difference between bonds

  and shares is that bondholders do not own a share in the company.

• Any action or project in which a company goes beyond the interests of its

  shareholders and senior management in order to benefit other stakeholder

  groups, normally with either a social or an environmental purpose. Also

  known as citizenship or sustainable responsible business.

Person or organisation to which a debtor owes money.

• Creditor

• Debtor

Emerging market

• A nation in the process of rapid economic growth and involvement in

  international trade.

• Corporate social

  responsibility

A brand that emphasises issues such as its sustainable, socially responsible

approach to production and marketing – this might include limiting the impact

on the environment or not exploiting workers. In financial services terms it

can mean a product that is not targeted at unsuitable customers.

• Ethical brand

• European

  Commission

The price of one currency in terms of another; eg it enables people to

calculate how many US dollars can be purchased with one pound sterling.

• Exchange rate

• Gilts

The value of all the goods and services produced within a country over a year.

• Gross domestic

  product (GDP)

• Inflation

• Interest rates

• Globalisation

The practice of moving some of a company’s operational functions to

overseas locations.

• Offshoring

• Reshoring