OEIC

Pronounced as “oiks”, this stands for Open-Ended Investment Companies. Although not dissimilar to unit trusts and investment trusts, an OEIC is basically a company which can be self-contained or it can form an “umbrella” over a range of individual funds (sometimes referred to as sub-funds). Instead of units, an OEIC issues shares and these can be of different classes for example, for income accumulation, for income distribution, or classes where income is paid gross or net of lower-rate income tax. Save & Prosper’s New Europe Fund is an OEIC.

Off Balance Sheet

Under the right circumstances, a lender can arrange an “operating” lease which is essentially long term rent, not a “Capital Expenditure” transaction, and so “off” balance sheet.

Offer Price

(stock market) the price at which a broker is willing to sell a certain security.

Offer Holder

Someone who occupies a particular position or office. Includes directors, judges, ministers of religion, members of parliament and so on.

Offset

To set one amount against another, such as a loss against a profit or a repayment against a liability.

Offshore Funds

Collective investment funds that are based overseas, often in ‘tax havens’ or other locations with particular tax advantages.

Ombudsman

A government appointee who investigates complaints especially between aggrieved parties such as consumers or an institution or organisation.

Balance Sheet

A statement of a business or institution that lists the assets, debts, and owners’ investment as of a specified date.

Opinion Status Enquiry

A reference given by a bank or building society to confirm a customer has run their account responsibly.

Other Income

This is a term to ensure that you declare all your taxable income which you have not already entered anywhere else on the Tax Return.

Other Income from Land and Property

Any property income (other than rents) that you receive from any source, such as payments from sporting rights and so on.

Other Income from Savings and Investments (except Dividends)

Covers anything from interest on loans you have made to income from Government Stocks (Gilts).

Other Pensions

Pensions that are paid by anyone else but the Government.

Other Qualifying Loan Interest

You can receive tax relief on interest paid on loans that you take out for certain specific purposes. These include loans for: Buying shares in a close company. Purchasing an interest in a partnership or contributing partnership capital. Purchasing machinery or plant for use in your employment or partnership.

Outgoing

Monies you have to pay to someone else for things linked to your income. You may be able to deduct them from your income for tax purposes.

Overdraft

A facility to be in debt with your bank in your current account. Interest is usually charged on any money owing.

Overlap Profit

Profit which has been taxed twice because part of an accounting period falls within the basis period for more than one year.

Overlap Relief

Tax relief that is given for overlap profits brought forward. It is given on a change of accounting date if the basis period is longer than 12 months or on the cessation of trade.