Cyber*School

cp. duration

the general formula is: I = N * R * D/B whereI = interest amountN = nominal amountR = interest rateD = number of days of the interest periodB = assumed number of days of a year (360, 365 or actual calendar days)

(international) securities idenfitication number

(SGX) The SGX was formed in 1999 from the merger of SIMEX (Singapore International Monetary Exchange) and SES (Stock Exchange of Singapore).

money, either cash or eligible securities,periodically set aside by the borrower to redeem all or parts of its long-term deptopposite: purchase fund

cp. smile

Small and medium enterprises (SMEs) are defined as companies that belong to a group with consolidated annual turnover of less than € 50 million.

The shares of the smaller and lesser known companies are called small caps.

The smile-effect (or skew-effect) refers to the fact, that options with different strikes have a different implied volatility. Options pricing models usually assume equal volatilities for all strikes, which is frequently not true in financial markets.

abbr. Sterling Overnight Index Average reference rate of overnight GBP comparable to EONIA

GBP interest rate swap where a variable rate (SONIA) is exchanged against a fixed rate see also: OIS

The at an investment company invested capital against the issue of share certificates and the associated fixed assets of the investement company are linked.

Used in contrast to general collateral to refer to specific securities required in a repo transactionAs the cash lender has a special interest in a specific security he is ready to accept a interest rate which is frequently significantly below the interest rate of general repos.

see SDR

Are only available to institutional investors (max. 10) and can not be purchased by private investors. They are used mainly for accruals and pensions or for an individual fund management of a financially strong institution.

Represent values in certain industries.

A legal entity that is established for a clearly defined purpose. After reaching its purpose, the company may be dissolved again.

The Specialist is a special type of liquidity provider, in comparison with the market maker, he is a kind of super-market-maker. He agrees on quotes towards higher volumes and tighter spreads.

The specific valuation allowance is used for the revaluation of a company's receivables. Thereby recognized foreseeable risks of default on individual exposures in the balance sheet will be taken into account. For banks valuation allowances have special significance because in case of banks loans and advances to customers account for a large share of the assets. The (threatened) failure of a borrower leads to form a specific valuation allowance at the lending bank.

a deal which has to be ful filled immediately, whereby -immediately- can be defined differently depending on the market,in foreign exchange market the spot-value is two working days after the trade date.