Cyber*School

Term for the highest loss in percentage value that is accounted by a fund within a certain period of time. The calculation is based on a period of 3 years.

(Greenshoe) In the case of over-subscription of the issue there is the possibility that the issuer grants an additional allotment of shares to the subscribers of the emission.

engl. gross amount loans

the net interest income plus net non-interest income of a bank (as defined by national supervisors and/or national accounting standards)

turnover minus costs of manufacture

v. grossing up clause

the obligation of an issuer to offset the withholding tax, if such a tax is introduced during the term of the bondgrossing-up clauses are frequently used in eurobonds

(growth funds) A mutual fund whose primary focus is on a steady increase in the intrinsic value of the investment funds. There is less attention to current income than to a price increase of the applied fund's securities (income funds).

abbr. Good-till-Cancelled

abbr. Good-till-Date

abbr. Good-till-expiration

Funds that guarantee the return of a predetermined (at issue) amount at a specified time. Guaranty funds are usually fixed-term funds. The advantage of the guarantee fund is that besides benefiting from additional income the risk of loss is limited (by the guaranteed return), their disadvantage is that the participation from the income is usually limited because of the guarantee.

see covered bond

a third party that accepts a contractual or statutory commitment for repayment of another entity's obligation

the margin of the seller (=cash borrower) in the repo, The haircut corresponds to the initial margin at futures. It represents an over collateralisation for the purchaser in the repo (= cash lender). Additional to the haircut margin calls (variaton margins) are common as well.

A financial market of a group of securities in which prices are rising or are expected to rise. The term "hausse" is most often used to refer to the stock market, but can be applied to anything that is traded, such as bonds, currencies and commodities. Bull markets are characterized by optimism, investor confidence and expectations that strong results will continue. Contrary Baisse

A technical analysis term used to describe a chart formation in which a stock's price: 1. Rises to a peak and subsequently declines. 2. Then, the price rises above the former peak and again declines. 3. And finally, rises again, but not to the second peak, and declines once more. The first and third peaks are shoulders, and the second peak forms the head.

the practice of deferring accounting recognition of gains and losses on financial market hedges until the corresponding gain or loss of the underlying exposure is recognised

An aggressively managed portfolio of investments that uses advanced investment strategies such as leveraged, long, short and derivative positions in both domestic and international markets with the goal of generating high returns (either in an absolute sense or over a specified market benchmark). Legally, hedge funds are most often set up as private investment partnerships that are open to a limited number of investors and require a very large initial minimum investment. Investments in hedge funds are illiquid as they often require investors keep their money in the fund for at least one year.

A ratio comparing the value of a position protected via a hedge with the size of the entire position itself. The hedge ratio is important for investors in futures contracts, as it will help to identify and minimize basis risk.