371505
| Question | Answer |
| Aspirations | Things or experiences that people would like to have in the future, ie owning a home instead of renting, having a luxury holiday or buying a sports car |
| Assets | Things that a person or a business owns. For a person their assets might include property, jewellery or financial products such as company shares |
| 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 |
| Demographic changes | Changes to the size and structure of the population (eg an increase in the number of people over the age of 65, or a rise in children of school age) |
| Economic boom | A period when the country is producing and selling an increasing amount of goods and services |
| Interest rate | The amount, expressed as percentage, that a financial services provider charges a borrower when it lends money, or pays to a saver |
| Investments | Money paid into financial products; the aim is that the value of the product will grow over time and so the person will eventually receive back more money than they paid in. Investments are a way of saving over the medium or long term |
| Life assurance | A type of insurance policy that pays out a sum of money if the insured person dies |
| Life cycle | The stages through which people pass between birth and death, including childhood, teenage years, young adult, mature adult and old age. Not everyone passes through all stages (ie they might die at an early stage) and not everyone passes through the stages at the same age |
| Life expectancy | The number of years that people are expected, on average, to live, based on the year in which they are born. ie life expectancy for a girl born in the UK between 2009 and 2011 is 82.8 years and for a boy is 78.8 years |
| Mortgage | A loan taken out to pay for a property, usually over a long term such as 25 years |
| National Insurance contributions | Money deducted from the pay of people who are employed or self-employed and used by the government to fund stage pensions and other benefits |
| Needs | Things that people need to survive, such as food, basic clothing and a place to live |
| Office for National Statistics | The independent organisation that produces statistics on many aspects of life in the UK such as employment, health, how long people live for in different areas of the country, housing, etc |
| Pension | An income that people receive after retiring from work. In the UK people receive a pension from the state; some people also receive pension payments from schemes run by their former employers or arrangements that they have made for themselves |
| Recession | A period of at least six months when the amount of goods and services the country is producing is shrinking |
| Redundancy | Losing a job because the business no longer needs, wants or can afford that job to be done; it is related to the needs of the business and not to how well or badly an individual does their job |
| Risk averse | Reluctant to take any kind of risk |
| Risk tolerant | Willing to take risks |
| Shares | Investments that represent part-ownership of a company |
| Wants | Things that people would like to have but can survive without, such as entertainment, fashionable clothes, etc. |
| Will | A legal document setting out what a person wants to happen to their belongings (assets) after their death |
Want to create your own Flashcards for free with GoConqr? Learn more.