Cyber*School

Accounting profit that has already been made but not yet realized by a transaction. e.g. in connection with a stock whose price has increased, but is still held.

Carrying amount corresponds the equity capital divided by the number of shares. If the carrying value is considerably higher than the price of a stock, it is regarded as a potential buy signal. See also: value at which an asset is disclosed in the balance sheet.

Bootstrapping is the procedure which is used for the calculation of a zero curve out of the given yield structure of financial instruments.

defined as an assessment of borrower risk on the basis of a specified and distinct set of rating criteria, from which estimates of the probability of default are derived

An investment approach that de-emphasizes the significance of economic and market cycles. This approach focuses on the analysis of individual stocks. In bottom-up investing, therefore, the investor focuses his or her attention on a specific company rather than on the industry in which that company operates or on the economy as a whole.

abbr. for basispoint 1/100 of one percentage point i.e. 0,01 %

abbr. Basis Point Value

The point at which revenues and costs of a product are equal and therefore neither loss nor gain is generated. For simplification it can be said that the contribution of all products sold is identical to the fixed costs at the breakeven point. If the profit threshold is exceeded, one makes profits and vice versa.

an information service company, Bridge was instructed with the execution of the EURIBOR-fixings. In September 2001 bridge was took over by reuters.

conducts the LIBOR fixing (BBA LIBOR) and developed a master agreement for FRAs (FRABBA)

In this market, buy or sell orders can not cause a price fluctuation in either direction, because enough of the respective shares are traded every day.

Professional security dealers and advisors. Brokers have the right to accept and execute trading orders from banks and privat investors. In England they are the contact point for jobbers or dealers.

abbr. Buoni del Tesoro Poliennali

Bullish investors i.e. optimistic market expectations. Contrary to bear.

Combined option strategy that is constituted by buying a call with a lower strike price and shorting a call with a higher strike price. Both options have the same maturity.

a type of foreign bondindicates a bond which is issued from a foreign entity in UK denominated in GBP

bond which is redeemed entirely at the end of the maturity

Bullet bonds refer to a debt security that is repaid by a certain date at the end of the term in total.

The entire principal is repaid at the end of the term. During runtime, only the interest is paid.

Investors who expect rising market rates.