Investment banking

Investment banking

Of or relating to the business of underwriting, or acting as the client's agent, in the issuance of securities in order to assist an individual, commercial enterprise, corporation or government instution ro raise capital.

Industry: Banking

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Investment banking

Intrinsic value

Banking; Investment banking

(1) Value, for example of a company, obtained using objective valuation methods. See also net asset value. (2) Options: positive difference between the current price of the underlying and the lower ...

Restricted transferability (of shares)

Banking; Investment banking

A restriction on the transferability of shares as defined in the issuing company's articles of association. See also registered share with restricted transferability.

Depreciation

Banking; Investment banking

Also: amortization; write-off. (1) The gradual decrease in value of an asset through wear and tear or other factors limiting its usefulness. Fixed assets are depreciated in accounts by regularly ...

Cash settlement

Banking; Investment banking

Also: cash payment. In future and forward transactions the performance of contractual obligations by paying in cash as opposed to physically delivering the commodity underlying the contract. See also ...

Spot transaction

Banking; Investment banking

Also: cash transaction. Transaction where delivery and payment for the instruments or goods (e.g. securities, foreign currencies or commodities traded on exchanges) are immediate. In the securities ...

Issue

Banking; Investment banking

Issue of securities with identical features and the placement of these securities within a short space of time at the same conditions for the purpose of procuring long-term debt capital or ...

Legal reserves

Banking; Investment banking

The reserves which a company is required to form to comply with legal requirements (e.g. company law). Art. 5 of Switzerland's Banking Law stipulates that 5% of the annual profit is to be allocated ...