Cyber*School

Operating income in relation to the sum of the fixed assets and current assets minus current liabilities

Earnings after taxes / equity x 100

Percentage value change of an investment in a certain period.

A metric that measures the yield in relation to that part of the equity that is necessary to cover banking risks and to cover the fixed assets.

(ROTA) A ratio that measures a company's earnings before interest and taxes (EBIT) divided by its total net assets. The ratio is considered an indicator of how effectively a company is using its assets to generate earnings before contractual obligations must be paid. (EBIT/Total net assets) The greater a company's earnings in proportion to its assets , the more effectively that company is said to be using its assets. To calculate ROTA, you must obtain the net income figure from a company's income statement, and then add back interest and/or taxes that were paid during the year.

an information service company

Equivalent to the profit before tax and movements in reserves.

closing a position through an opposite deal

purchase of securities with a simultaneous agreement to re-sell them to the original seller on a future date,A reverse repo corresponds de facto a security callateralized credit lending. The PSA/ISMA Repurchase master agreement serves usually as the legal basis. opposite: repo

a repo which has got the same final maturity as the security (collateral)

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Rights of shareholders to ask questions about to the company, the operating results and to the Executive Board at the General Meeting. In exceptional cases, the Board may refuse to provide information.

Right of shareholders to make proposals at the General Meeting.

It indicates the extent of the risks, a credit institution is able to take due to its equity base. It is used as a incurred risk buffer for emerging risks. Several scenarios striking expected risks: going concern, stress case or liquidation

Entering into banking risks such as interest rate risk, currency risk, liquidity risk and credit risk.

Risk levels are a measure for determining the risk of an investment

Imputed risk premium to cover the expected credit losses.

Provides opportunities and risks of an investment in graphical form.

Hedging

options strategy, where a out of the money call is purchased and a out of the money put is sold (or vice versa)smiles resp. skews are usually traded by means of risk reversals, the quotes usually refer to options with a delta of 25 %; e.g.:the quotation of a risk reversal is: calls are over 0,5meaning: the volatility of calls delta 25% (resp. puts delta 75%) is traded 0,5% higher than the volatility of puts with delta 25% (resp. calls delta 75%)