Association of British Insurers, trade body through which insurance companies can air views on matters of common concern.

The rate at which your pension benefits build up as pensionable service is completed in a Final Salary Scheme.

Someone qualified to consider financial issues, particularly ones involving probabilities such as life expectancy.

The interest paid from current, deposit or savings accounts.

Association of Independent Financial Advisers, industry trade body for financial advisers who are not tied agents.

Association of Investment Trust Companies, the industry trade body of investment trust companies.

Person who studies a particular market or industry sector and gives a generic opinion as to the future value of a companies shares.

A measure used to assess the risk of a portfolio.

This is the contract you purchase from an insurance company using a lump sum of money (e.g. the proceeds of your pension fund) to guarantee you an annual income for a period of time (e.g. for ten years).

The percentage you are charged over a year on the outstanding balance when you borrow money or make a purchase on credit.

Anything of value can be referred to as an asset, such as your home, jewellery or antiques. Within investments, assets are another word for investments in a unit trust portfolio.

The Association of Unit Trusts and Investment Funds, the industry trade body of unit trust and investment trust management companies.

Extra payments you can make in addition to your main occupational pension scheme contributions to boost your retirement benefits. AVCs can be paid either to your employer's scheme or to a separate arrangement. See also FSAVCs

The interest set by the Bank of England on which other banks base their rates.

The income tax paid on taxable income above a certain figure, currently 20%.

The single person's flat rate State pension paid when you reach state pension age (60 for women, 65 for men, although set to increase to 65 for women by 2020) if you have paid sufficient National Insurance contributions during your working life.

The difference between the prices at which you buy units and sell them back.

The price at which you sell units in a unit trust back to the investment manager.

An extra payment that with-profits policyholders may have added to their contract depending on the profits the company makes in any one year, or over a period of years.

A lump sum of money.

The tax payable on profit made on the sale of assets or property other than your home.

An increase in the value of shares or other assets in a fund.

A mortgage product where the payment you make each month covers the capital and interest on your loan.

Facility for members of personal pension schemes to have their contribution, or part of it, treated as being paid in the preceding tax year.

The facility for members of personal pension schemes to carry forward any unused tax relief from any of the six years prior to the year in which the contribution was to be paid. Carry forward of unused relief was abolished in April 2001.

Stands for (reasonable) Charges, (easy) Access and (fair) Terms and is a mark awarded by the Government to mortgages which meet these standards.

The means by which financial advisers or salespeople are paid by an insurance company for placing business with them.

The process by which you can elect to stay in or opt out of the State Second Pension.

A form of investment offered by a corporation with the purpose of raising capital, in which the lump sum is repaid with interest at maturity. Corporate bonds can be bought and sold on the stock market.

Applies only to limited liability companies and is chargeable on the company's profits.

Pays a lump sum if you are found to suffer from one of a range of designated illnesses (normally including cancer, heart attack, and stroke among others). When a condition requires you to stop working for some time, worries are eased. So, normal practice is to have enough insurance to cover the mortgage, plus provide a year or two's income if your savings or other insurance will not provide. The policy usually pays out after surviving 28 days after diagnosis