granny bond: meaning, definition, pronunciation and examples
LowInformal, journalistic
Quick answer
What does “granny bond” mean?
A colloquial term for a type of UK government savings bond, historically offering index-linked, tax-free returns, initially marketed to and particularly suitable for pensioners.
Audio
Pronunciation
Definition
Meaning and Definition
A colloquial term for a type of UK government savings bond, historically offering index-linked, tax-free returns, initially marketed to and particularly suitable for pensioners.
Any government-issued savings product perceived as safe, conservative, and designed for risk-averse investors, particularly the elderly, though the original UK product no longer exists. The term can be used more generally to describe any very low-risk investment suitable for a conservative portfolio.
Dialectal Variation
British vs American Usage
Differences
The term is almost exclusively British. The specific financial product it refers to was issued by the UK government. American speakers are unlikely to know the term unless familiar with UK finance; they might use a generic phrase like 'retirement bond' or 'senior savings bond' for a similar concept.
Connotations
In the UK, it connotes a safe, if unexciting, investment from a past era of personal finance. In the US, it has no established connotation.
Frequency
Common in UK financial history and retrospective articles; rare in current active financial discourse as the original bonds are no longer issued. Virtually non-existent in American English.
Grammar
How to Use “granny bond” in a Sentence
hold + a granny bondinvest in + granny bondscash in + your granny bondsVocabulary
Collocations
Examples
Examples of “granny bond” in a Sentence
verb
British English
- They advised her to granny-bond her savings, but the scheme had closed.
- He's granny-bonding his inheritance for safety.
American English
- [Term not used in this form in AmE]
adverb
British English
- [No standard adverbial use]
American English
- [No standard adverbial use]
adjective
British English
- He has a very granny-bond approach to investing.
- The fund's strategy is far too granny-bond for my taste.
American English
- [Term not used in this form in AmE]
Usage
Meaning in Context
Business
Used in historical context or when discussing conservative investment portfolios for clients.
Academic
Used in papers on economic history, personal finance, or social policy regarding the elderly.
Everyday
Used by older generations recalling their savings or in general conversation about safe investments.
Technical
Not a technical term. The technical name would be e.g., 'Index-linked Savings Certificate'.
Vocabulary
Synonyms of “granny bond”
Strong
Neutral
Weak
Vocabulary
Antonyms of “granny bond”
Watch out
Common Mistakes When Using “granny bond”
- Using it to refer to any bond owned by a grandmother.
- Using it in an American financial context.
- Thinking it is a current, available product.
- Misspelling as 'granny's bond'.
FAQ
Frequently Asked Questions
No, the original index-linked granny bonds were offered by the UK government between 1975 and the 1980s and are no longer on sale to new investors.
They were nicknamed as such because they were perceived as particularly suitable for pensioners (often stereotypically 'grannies') due to their safety and tax benefits.
No. Premium bonds are a different UK savings product where interest is replaced by a monthly prize draw. Both are government-backed but function differently.
It is an informal, widely accepted nickname. While it uses a stereotype, it is not generally considered offensive in a financial context, though it is somewhat dated.
A colloquial term for a type of UK government savings bond, historically offering index-linked, tax-free returns, initially marketed to and particularly suitable for pensioners.
Granny bond is usually informal, journalistic in register.
Granny bond: in British English it is pronounced /ˌɡræni ˈbɒnd/, and in American English it is pronounced /ˌɡræni ˈbɑːnd/. Tap the audio buttons above to hear it.
Phrases
Idioms & Phrases
- “[No specific idioms; the term itself is a fixed expression]”
Learning
Memory Aids
Mnemonic
Imagine a kindly granny carefully putting her money into a very safe, government-guaranteed piggy bank labeled 'BOND'. The image combines the user (granny) and the product (bond).
Conceptual Metaphor
FINANCIAL SAFETY IS FAMILIAL CARE (The government is like a family member looking after the elderly).
Practice
Quiz
In which context is the term 'granny bond' primarily used?