English

Extension fee (back fee)

The amount payable when an option is extended beyond the original contract date and is extended through a subsequent contract (a premium paid when a buyer continues an option through a second option contract on extension date of the original contract). – Payment made by the owner of a compound option to the owner of… read more »

Payment (overspending)

In the financial sense, the withdrawal of money from a cash register for payment purposes; correspondingly, it is referred to as collection. – The expression was already in the 19, Jht. as Unwort (misnomer: a mistaken or unsuitable term) reprimanded. However, it has been used to some extent up to the present day in addition… read more »

report of suspicious activity)

Banks in Germany are obliged to report to the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht) if EX ANTE or EX POST there are indications that transactions violate the prohibition of insider transactions or market manipulation. Reporting a suspicion is an original obligation of an institute which differs from other legal requirements such as the… read more »

Sale by private contract (selling in the open market)

Said usually of (public) securities where there is no pre-determined issue period. The sale takes place continuously without a time limit. This makes it possible to achieve “noiseless” (discreet) financing with a relatively constant market burden. – See issuance calendar, tender, limited. Attention: The financial encyclopedia is protected by copyright and may only be used… read more »

Expiration date, formerly also expiration day and peremption day

In general, the contractually agreed or legally stipulated expiration of a period. – The end of the term of a financial contract. – On the stock exchange, the date on which the option can no longer be exercised. If it has an intrinsic value, the option right must have been exercised by this date at… read more »

Put option

Option contract which contains the right to sell – a good such as foreign exchange, a financial instrument or a commodity – at a certain price – within a specified period of time. – A put option is bought when it is believed that the price of the commodity in question will fall. The seller… read more »

Divestiture financing

Loan to a company with the purpose of enabling the company to transfer – product lines, – entire divisions or – subsidiaries to a contractual partner (capital provided to a company to facilitate the sale of its interest in a product, division or subsidiary to another business entity). – Such financing is particularly important if… read more »

Earnings (salary; profit; merit)

The fixed amount of money paid to an employee, usually measured on a monthly or annual basis, not hourly, as wages. – The profit from a business, from a transaction (the total income from a transaction minus expenditures). – The recognition that a person has earned through outstanding performance above and beyond the call of… read more »

Seller’s market

A market in which demand exceeds supply. Rising prices are the result due to the First Price Law (supply and demand determine the price). – See market, oversold. 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… read more »

Remuneration (payment; [performance] fee; credit entry; gratification; abatement)

Generally, the payment of a sum of money under a contractual agreement, especially said of employment contracts: salary, earnings, salary, pay. – The remuneration for services rendered by certain professions, such as lawyers (attorneys’ fees), physicians (doctors’ fees), authors (copyright fees), or artists: honorarium, fee, royalty; also called equivalent (aequivalent) in older literature. For banks,… read more »

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