English

In the jargon of financial journalists, the first president – from its founding on January 1, 1998 to October 31, 2003 – of the ECB, Dr. Willem F. Duisenberg (1935-2005). In many respects, he…

In older financial terminology, a bill of exchange that is not intended to be discounted but is pledged (pledged; lombarded, retired) as collateral for a liability. – See retirement, repurchase agreement. Attention: The financial…

In the past, a list of “bounced” bills of exchange, i.e. bills not honored by the acceptor of the bill, which were exchanged between banks. Anyone on a protest list was generally considered unworthy…

In general, the regular, usually: monthly settlement of accrued payment amounts. – Billing for the services used by a financial service provider. – See all-in fee, bank charges, brokerage, deduction, giropay, remuneration. – Cf.…

In older documents, the unlawful trade in counterfeit and forged coins (trade with illegitimate coinage). Billonneur (coin conterfeiter) was the name given to anyone engaged in this trade as a maker of counterfeit coins…

Computer payment system of the eBay company, geared to payment within the scope of their Internet auctions, in use until 2002 and then replaced by PayPal. The fees incurred were always charged to the…

In a currency area, coins of two types of metal in circulation; usually referring to coins of gold and silver. – See anti-Gresham’s law, Gresham’s law, monometallism, secondary currency, currency, limp. Attention: The financial…

Bank internal term (term within banking world) for – a two-person team in all business areas, including the Executive Board – the partner in the two-person team. Attention: The financial encyclopedia is protected by…

Substitutes for petroleum products produced mostly from plants – and more rarely from animal waste. – The increasing production of biodiesel from oleaginous plants in particular, which is constantly being refined, is causing prices…

Earlier fee for an official document confirming that the person was born of parents who were married to each other and from marriage. Without such a birth certificate, access to certain professions and organizations…

Official German abbreviation for the Bank for International Settlements in Basel. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard…

An Internet payment system introduced in January 2009. In principle, anyone can participate by joining the Bitcoin community. Anyone who then wants to use Bitcoins as network money must install a so-called wallet on…

Sums collected outside the regular accounting system (money that is secretly collected from the overall income of a country, a corporation, a society of any form, a political party or a national department). In…

An investor who wants to buy out a company against the will of its management and/or employee representatives (an unfriendly bidder in a hostile takeover). – See shareholder vote hunt, sneak attack, bidder, suitor,…

The price at which a currency subject to exchange control is traded on the black market (black-market: a form of economic activity that takes place outside of government-sanctioned channels). – See exchange rate surveillance,…

The price at which a currency subject to exchange control is traded on the black market (black-market: a form of economic activity that takes place outside of government-sanctioned channels). – See exchange rate surveillance,…

In general, the period during which a security may not be sold by its owners on the basis of contractual agreements. – In particular, the prohibition on the purchase or sale of a company’s…

In general, the period during which a security may not be sold by its owners on the basis of contractual agreements. – In particular, the prohibition on the purchase or sale of a company’s…

The risk that a bank – and a company in general – will incur losses as a result of interruption of delivery of electrical power. – See Flash crash, power risk. Attention: The financial…

to place the responsibility for a calamity on others; game = here: object of attack; hunting game): Term that entered financial language in the wake of the 2009 Greek crisis. The term denotes the…

Generally, a loan obtained without pledging any security, as collateral, guarantor. etc.). The loan is thus based solely on the trustworthiness of the borrower. Blank loans are granted primarily to private customers, from where…

On the global gold futures market, the proportion of contracts to be settled by actual delivery of gold is less than two percent. All other contracts are settled by repurchase. – See cash margin,…

Someone is now selling an asset that he does not yet own. He expects to buy it soon at a lower price in order to fulfill his obligation. – See short sale. Attention: The…

Unless otherwise defined, in finance, a signed but as yet unfilled order for the disbursement of money. – See aval, bianco, guarantee transaction, letter of comfort. Attention: The financial encyclopedia is protected by copyright…

A penalty payment formerly decreed by the authorities for persons who publicly – uttered an insult to God (blasphemy; dishonoring God by words) or – made disparaging, insulting, and degrading remarks to fellow human…

In the older literature said of an adulterated coin, in which the core (inner part of the coin; in German also Pille and in old documents often called Blatte) was cast from lead or…

A consecrated coin of low value that used to be kept in the purse so that it would never empty. – Despite strict ecclesiastical prohibitions and the reference to obvious superstition, this amulet (protective…

A consecrated coin of low value that used to be kept in the purse so that it would never empty. – Despite strict ecclesiastical prohibitions and the reference to obvious superstition, this amulet (protective…

Unless otherwise defined, this refers to the investment of money in a fund that does not provide any information about the use of the amounts paid in by subscribers. Often, there is no control…

A fund administered in trust. It manages the affairs of a person completely independently, i.e. without the beneficiary being involved (the beneficiary has no access to any information regarding the assets purchased and the…

In the financial market, the merging of two institutions, both of which have little standing or are struggling. In particular, also related to planned alliances between German Landesbanken, such as WestLB and BayernLB. –…

In the context of mergers and acquisitions, an offer so favorable that it is accepted immediately (in the context of a takeover: a tender offer to the shareholders in another firm to sell [tender]…

Trading in blocks of shares (selling and buying a large number of shares; a block normally consists of 10,000 shares of a given stock). – Special form of share issue. In this case, new…

Several shareholders join together to cast their votes jointly and in the same direction at the Annual General Meeting (a group of shareholders acting together to vote their shares aligned in a single block).…

Several shareholders join together to cast their votes jointly and in the same direction at the Annual General Meeting (a group of shareholders acting together to vote their shares aligned in a single block).…

Discount on the market price granted to the buyer of a larger number of shares (block-trading; package trade) (the difference between the market value of a security and its sale price when transacted under…

Generally dishonest tricks of windy real estate agents to buy private homeowners’ property far below value (an illegal practice often used by unfair real estate agents and developers to get homeowners to sell their…

Credit balance at a bank that is contractually not freely disposable within a certain period of time, i.e. no withdrawals are possible: A credit balance at a bank that can only be freely disposed…

Credit balance at a bank that is contractually not freely disposable within a certain period of time, i.e. no withdrawals are possible: A credit balance at a bank that can only be freely disposed…

The ability of a minority to block certain decisions of the general meeting of shareholders during voting, and here again in particular occasionally at the general meeting of a stock corporation. In general, blocking…

The ability of a minority to block certain decisions of the general meeting of shareholders during voting, and here again in particular occasionally at the general meeting of a stock corporation. In general, blocking…

The refusal by a bank or group of institutions to accept cash cards issued by third-party card issuers. For example, in early 2010 German savings banks excluded cash cards issued by direct banks from…

A public diary on the Internet. Insofar as personal messages concerning the financial market appear in it, such as above all messages about suddenly obtained richness du to the purchase of specific assets, then…

In the past – and in some Arab states to some extent still today – a payment that was to be made on a one-time or regular basis, especially – in the case of…

A term used by financial journalists in the spring of 2012 to refer to the forced repayment of one-third of Greece’s public debt by private creditors, which was presented as having no alternative. This…

In the context of money, counterfeit or falsified banknotes (jargon referring to counterfeit money, especially so named in underworld and criminal society). – See banknote value restriction, billonnage, counterfeit money, counterfeits, money, damaged, money,…

A term that has arisen in connection with the considerations on Euro Bonds for such bonds, i.e. for bonds for which other member countries of the Euro Zone have assumed joint and several liability.…

Companies which are highly-regarded by investors, particularly by those seeking a conservative investment in shares. – Shares – and in a broader sense sometimes also used for all financial instruments – of first-class companies,…

Securities – primarily stocks – of top-rated issuers (= a company which is highly-regarded by investors, particularly by those seeking a conservative investment in shares). – See cheap copy, blue chips, Bo Derek share,…

Securities – primarily stocks – of top-rated issuers (= a company which is highly-regarded by investors, particularly by those seeking a conservative investment in shares). – See cheap copy, blue chips, Bo Derek share,…

A set of laws and regulations in the U.S. that must be observed when issuing securities of any kind. – The term is borrowed from the fact that banks and fly-by-night investment advisors often…

In the language of financial journalists, employees to be laid off in all areas in the event of a bank merger, including the members of the Board of Management. Many see the avoidance of…

Term invaded from the USA around 1985 for a stock with an excellent record of performance and earnings growth). – The name is derived from the American actress Bo Derek. After a worldwide success…

In earlier times, the payment for feeding the city guard or castellan; Brett (board) = here: Dining table. – See fortress money. Attention: The financial encyclopedia is protected by copyright and may only be…

Payment for feeding and caring for a person (boarder: a tenant in someone’s house) in a private household or in a community, such as a boarding school. – The levy paid by children who…

The unexpected overthrow of senior executives of a company in general and a bank in particular by an individual (endowed with majority of voting rights) or by a smaller group. The sudden overthrow of…

The unexpected overthrow of senior executives of a company in general and a bank in particular by an individual (endowed with majority of voting rights) or by a smaller group. The sudden overthrow of…

A tax levied in some places around 1920 for the keeping of watercraft with a combustion engine that were not used for the paid transport of passengers or goods. The purpose of the tax…

Popular term in English-speaking countries for – money in general and – in particular a GBP or a USD, as well as for the corresponding basic unit of currency in other English-speaking countries (bob…

Special option contract based on a German federal bond with an interest rate of six percent and a remaining running time of five years. The holder of a Bobl futures contract has the right…

The granting of a loan against pledging – in old documents also: impignoration; impignoration – of the ship or cargo (a contract by which a ship is hypothecated as security for repayment of a…

The transfer of a person to the creditor as security for a loan. – In addition, if the debt was not paid on the due date (deadline), the debtor or a person close to…

In the financial market, a benchmark, usually an index, used to evaluate a fund’s performance. The term is derived from the game of golf, where it means one stroke more than par (par: the…

Calculation method to detect trend changes on the financial market. The calculated bands wrap around the price trend of the underlying asset such as a share, index or option with an alternating distance. –…

Generally any value voucher. – See brand. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor…

An agreement formally entered into prior to placement between the issuer of a bond and a group of purchasers (usually institutes) wherein special terms are set forth for the contracting parties (the formal agreement…

From the issuance of bonds in a currency area and their features, the central bank gains important information for forward-looking monetary policy. The relevant data are therefore monitored by the ECB under the two-pillar…

The ratio showing the portion of total capitalization of a firm represented by bonds. When making comparisons, the company’s sector of activity must be taken into account and compared with the sector average. –…

Yield premium (also referred to as interest rate premium and risk premium) of – bonds (of companies) with default risk compared with lower-risk bonds (government bonds with top credit ratings, i.e. securities of countries…

Unless otherwise defined, this is the gross yield on ten-year high-yield government bonds. Central banks monitor bond yields because yield spreads at least help to explain international movements of capital. – See credit default…

Assets of a capital management company invested primarily in fixed-interest bonds. – See Bonds, Annuities. – See the ECB’s Monthly Bulletin of June 2007, pp. 28 ff (breakdown of funds by share). The ECB’s…

Generally, a security whose servicing (interest and repayment) is based on the (current) payment of claims to which the issuer of the issue is entitled. These receivables are usually mortgage loans to companies and…

A bond-related financial derivative. Basically, it is a – bond where the redemption is linked to the price of another financial instrument. However, the issuer – divides the issue into two tranches. – The…

The reservation by an issuer to call the security for repurchase after a number of years specified in the terms of issue (a feature available for most bonds that gives the issuer the ability…

A bond which, according to the terms and conditions of the bond, cannot be called by the issuer within fixed time limits. This creates planning security for the bondholder (there is a period of…

A special form of index-linked bond in which the interest and/or redemption of the bond is based on the respective monetary value of quantities by weight of a common commodity, such as the current…

A bond with an above-market yield and low price volatility. In this case, the terms and conditions of the bond usually include the right of early termination. The issuer will exercise this right if…

A bond whose terms of issue stipulate the issuer’s right to postpone the repayment date (contractual privilege of the issuer of lengthening the repayment schedule of the bond). This does not affect the interest…

a debt security where the interest rate is reset at contractually agreed intervals by reference to a reference interest rate or index. – See bond, floating rate, bond, rising rate, floater, rollover loan, debt…

a debt security where the interest rate is reset at contractually agreed intervals by reference to a reference interest rate or index. – See bond, floating rate, bond, rising rate, floater, rollover loan, debt…

A bond (mostly issued by public-sector entities) with a debtor’s right to call the bond. This allows the issuer to redeem the issue early after a lock-up period on any interest date or to…

Bonds that pay investors according to a formula that is based on a fraction of the increase or decrease in a specified index. – In Germany, such bonds were prohibited by law until the…

A security that is protected against changes in the value of money in terms of the payments contractually flowing from it (regular interest) and in terms of repayment (redemption) (bonds whose principal and coupon…

A bond that allows the investor to choose in which currency he wishes the interest payments and/or the final repayment to be made (bond for which interest payments and/or the final repayment are agreed…

A bond that, according to the contract, – must be serviced by the issuer until the end of the agreed term (the bond cannot be called, no matter what the interest rate is) and…

Debt security for which contractually agreed interest is not (or no longer) paid. – See probability of default, debt-equity swap, default, calibration, credit, defaulted, air securities, paper, toxic, reintermediation, debt, defaulted, sovereign debt, denied,…

Term for a debt security that equals market conditions at the time of issuance. The issue price is one hundred percent and the interest rate is equal to the market rate. – In the…

A bond without a final maturity date, usually issued by the government. – Theoretically, their term is infinite. However, they almost always contain a call option on the part of the issuer, often in…

The bond issued by a joint-stock company in which, in addition to interest, the investor is promised a share in the company’s profit if it exceeds a rate specified in the terms of the…

A bond in which the interest rate increases with increasing time from issuance (a bond that pays an interest rate for an initial period which then increases to a higher rate), where the times…

A debt security that is protected by some means against default and/or delinquency by the issuer. – See bond, asset-backed, bond, unsecured, monetary expansion, monetary union-internal, pledge, collateral, collateralization, real collateral. Attention: The financial…

Unless expressly defined otherwise, a debt security with a maturity of between twelve months and five years (bonds with a maturity of between one and five years). Attention: The financial encyclopedia is protected by…

Generally, a fixed-income security that includes special supplemental agreements between the issuer and the acquirer; examples include equity-linked bonds or credit-linked notes. In the context of leveraged buyouts, CLO funds also issue special bonds…

Fixed-interest bearing security for which creditors must subordinate claims to those of non-subordinated claims in the event of the issuer’s liquidation or insolvency. In the event of bankruptcy, there is therefore a high probability…

A security, usually issued by the government, – the income from which is not subject to a tax deducted at source, or – is not taken into account for income tax purposes, or –…

The terms and conditions of a bond almost always contain a proviso that regulates any burdens for the issuer arising from changes in taxation and, in this case, grants the issuer and, in most…

A corporate bond or bank bond without special collateralization. – See bond, secured. – Cf. ECB Monthly Bulletin, November 2011, pp. 82 ff. (unsecured bonds in the refinancing structure of banks; overviews). Attention: The…

Colloquially said for the Federal Reserve Bank of New York. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk,…

A person or firm operating in the financial market without permission or supervision. – See banking license, financial vulture, collection agency, offshore financial centers, avenging angel, ragion book, underground banking, angle broker. Attention: The…

Commission payable to the bank or underwriting syndicate on the issue of securities. – Granting of a special discount, a rebate on the issue price of a security to certain subscribers, such as bulk…