C1 · Advanced

Economics & Finance — C1 English Vocabulary

This C1 vocabulary list gathers 60 advanced English words about economics & finance — markets, capital and high finance. Every word comes with its British-English pronunciation and a natural example sentence, so you learn each one in real context. When you are ready, open the flashcards to practise and remember them for good.

  1. solvency/ˈsɒl.vən.si/

    “The bank’s solvency was in doubt.”

  2. insolvency/ɪnˈsɒl.vən.si/

    “The firm faced insolvency.”

  3. liquidate/ˈlɪk.wɪ.deɪt/

    “They had to liquidate their assets.”

  4. leverage/ˈliː.vər.ɪdʒ/

    “The deal used a lot of leverage.”

  5. arbitrage/ˈɑː.bɪ.trɑːʒ/

    “He made money through arbitrage.”

  6. derivative/dɪˈrɪv.ə.tɪv/

    “A derivative is a risky product.”

  7. collateral/kəˈlæt.ər.əl/

    “The house was used as collateral.”

  8. amortise/əˈmɔː.taɪz/

    “They amortise the loan over ten years.”

  9. depreciation/dɪˌpriː.ʃiˈeɪ.ʃən/

    “The car loses value through depreciation.”

  10. appreciation/əˌpriː.ʃiˈeɪ.ʃən/

    “Currency appreciation hurt exports.”

  11. monetarist/ˈmʌn.ɪ.tər.ɪst/

    “He is a strict monetarist.”

  12. macroeconomic/ˌmæk.rəʊ.iː.kəˈnɒm.ɪk/

    “They study macroeconomic trends.”

  13. remittance/rɪˈmɪt.əns/

    “A remittance arrived from abroad.”

  14. subprime/ˌsʌbˈpraɪm/

    “Subprime loans caused the crash.”

  15. windfall/ˈwɪnd.fɔːl/

    “He spent his windfall wisely.”

  16. nest egg/ˈnest eɡ/

    “She has a small nest egg.”

  17. frugal/ˈfruː.ɡəl/

    “He leads a frugal life.”

  18. thrift/θrɪft/

    “Her thrift impressed everyone.”

  19. extravagance/ɪkˈstræv.ə.ɡəns/

    “His extravagance ruined him.”

  20. opulence/ˈɒp.jə.ləns/

    “They lived in great opulence.”

  21. destitution/ˌdes.tɪˈtjuː.ʃən/

    “War drove them to destitution.”

  22. penury/ˈpen.jə.ri/

    “He died in penury.”

  23. solvent/ˈsɒl.vənt/

    “The company is barely solvent.”

  24. arrears/əˈrɪəz/

    “He fell into rent arrears.”

  25. default/dɪˈfɔːlt/

    “They may default on the loan.”

  26. underwrite/ˌʌn.dəˈraɪt/

    “A bank agreed to underwrite the bond.”

  27. hedge fund/ˈhedʒ fʌnd/

    “She works for a hedge fund.”

  28. annuity/əˈnjuː.ɪ.ti/

    “He bought an annuity for retirement.”

  29. compound interest/ˌkɒm.paʊnd ˈɪn.trəst/

    “Compound interest builds wealth.”

  30. inflationary/ɪnˈfleɪ.ʃən.ər.i/

    “Wages add inflationary pressure.”

  31. recessionary/rɪˈseʃ.ən.ər.i/

    “We are in a recessionary period.”

  32. expansionary/ɪkˈspæn.ʃən.ər.i/

    “They chose an expansionary policy.”

  33. belt-tightening/ˈbelt ˌtaɪt.ən.ɪŋ/

    “A round of belt-tightening began.”

  34. levy/ˈlev.i/

    “The state imposed a new levy.”

  35. excise/ˈek.saɪz/

    “Excise on fuel was raised.”

  36. capital gain/ˌkæp.ɪ.təl ˈɡeɪn/

    “She paid tax on the capital gain.”

  37. per capita/pə ˈkæp.ɪ.tə/

    “Per capita income rose.”

  38. valuation/ˌvæl.juˈeɪ.ʃən/

    “The firm’s valuation soared.”

  39. overvalued/ˌəʊ.vəˈvæl.juːd/

    “The shares are overvalued.”

  40. undervalued/ˌʌn.dəˈvæl.juːd/

    “Analysts call it undervalued.”

  41. profiteer/ˌprɒf.ɪˈtɪə/

    “A profiteer exploited the shortage.”

  42. usury/ˈjuː.ʒər.i/

    “The lender was accused of usury.”

  43. brokerage/ˈbrəʊ.kər.ɪdʒ/

    “She opened a brokerage account.”

  44. bullion/ˈbʊl.jən/

    “They store gold bullion.”

  45. hyperinflation/ˌhaɪ.pər.ɪnˈfleɪ.ʃən/

    “Hyperinflation wiped out savings.”

  46. indebted/ɪnˈdet.ɪd/

    “The nation is deeply indebted.”

  47. creditworthy/ˈkred.ɪtˌwɜː.ði/

    “He is no longer creditworthy.”

  48. fiduciary/fɪˈdjuː.ʃər.i/

    “They have a fiduciary duty.”

  49. pecuniary/pɪˈkjuː.ni.ər.i/

    “He had no pecuniary interest.”

  50. remunerative/rɪˈmjuː.nər.ə.tɪv/

    “It is highly remunerative work.”

  51. economise/ɪˈkɒn.ə.maɪz/

    “We must economise this winter.”

  52. squander/ˈskwɒn.də/

    “Do not squander your money.”

  53. accrue/əˈkruː/

    “Interest will accrue over time.”

  54. shortfall/ˈʃɔːt.fɔːl/

    “There was a budget shortfall.”

  55. overdraft/ˈəʊ.və.drɑːft/

    “She has a large overdraft.”

  56. insolvent/ɪnˈsɒl.vənt/

    “The company is now insolvent.”

  57. recoup/rɪˈkuːp/

    “They hope to recoup the losses.”

  58. divest/daɪˈvest/

    “They will divest their oil assets.”

  59. remit/ˈriː.mɪt/

    “It is outside the bank’s remit.”

  60. liquid/ˈlɪk.wɪd/

    “Cash is the most liquid asset.”