Glossary entry (derived from question below)
German term or phrase:
Swapausgleichszahlung
English translation:
swap receipt
Added to glossary by
PoveyTrans (X)
Aug 15, 2007 14:14
17 yrs ago
1 viewer *
German term
PoveyTrans (X)
Swapausgleichszahlung
German to English
Bus/Financial
Investment / Securities
Bonds
The meaning here is clear but was wondering what the precise terminology was - swap compensation / adjustment payment?
Mit Hilfe dieses Zinssicherungsinstrumentes wird der feste Zinssatz der Anleihe gegen den variablen 6-Monats-EURIBOR zuzüglich Marge getauscht. Für 2006 ergab sich dadurch nur eine effektive Zinslast von EUR 22,944 Mio. (in 2005 EUR 18,352 Mio.), die sich aus folgenden Effekten zusammensetzte:
- Kuponzahlung an die Anleihegläubiger von EUR 31,5 Mio. (4,5% auf EUR 700 Mio.)
- Swapausgleichszahlung von EUR 31,5 Mio. zu Gunsten der Holding
- Zinsaufwand in Höhe von EUR 22,944 Mio. auf Basis einer Verzinsung des 6-Monats-EURIBOR zuzüglich Marge
Many thanks
Simon
Mit Hilfe dieses Zinssicherungsinstrumentes wird der feste Zinssatz der Anleihe gegen den variablen 6-Monats-EURIBOR zuzüglich Marge getauscht. Für 2006 ergab sich dadurch nur eine effektive Zinslast von EUR 22,944 Mio. (in 2005 EUR 18,352 Mio.), die sich aus folgenden Effekten zusammensetzte:
- Kuponzahlung an die Anleihegläubiger von EUR 31,5 Mio. (4,5% auf EUR 700 Mio.)
- Swapausgleichszahlung von EUR 31,5 Mio. zu Gunsten der Holding
- Zinsaufwand in Höhe von EUR 22,944 Mio. auf Basis einer Verzinsung des 6-Monats-EURIBOR zuzüglich Marge
Many thanks
Simon
Proposed translations
(English)
| 4 | swap receipt |
Kieran McCann
|
| 4 +1 | cash settlement (here: fixed-rate payment) |
Ralf Lemster
|
| 4 -2 | (credit) default payment |
Emilie Laferrière
|
Change log
Aug 15, 2007 14:17: Steffen Walter changed "Field (specific)" from "Finance (general)" to "Investment / Securities"
Proposed translations
7 hrs
Kieran McCann
United Kingdom
United Kingdom
Native in English
Specializes in field
United Kingdom
Qualified finance professional
Native in: English
Works in: German to English, French to English
Related KudoZ points
:
72
Selected
swap receipt
probably the simplest route, 'swap payment received' also possible
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Note added at 18 hrs (2007-08-16 08:43:00 GMT)
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forgot to add some evidence: http://www.google.co.uk/search?hl=en&q="swap receipt"&meta=
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Note added at 18 hrs (2007-08-16 08:49:07 GMT)
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as Ralf says, 'Ausgleich' (as so often) is misleading/superfluous here in English, and this has nothing to do with 'settlement', but however you phrase it, I think the notion of 'receipt/receiving' has to be conveyed somehow to distinguish the inward payment flow from the outward 'Kuponzahlung': both are fixed-rate payments
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Note added at 4 days (2007-08-20 12:24:13 GMT)
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don't really mind which answer you use but I don't understand Robin's comment. This seems to me to be a standard fixed-to-floating swap: fixed amount out to investors, same fixed amount in from swap counterparty, floating amount out to swap counterparty. If Robin, Ralf or an interested passer-by could tell me why this isn't a 'classic swap cash payment', I would be grateful.
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Note added at 18 hrs (2007-08-16 08:43:00 GMT)
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forgot to add some evidence: http://www.google.co.uk/search?hl=en&q="swap receipt"&meta=
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Note added at 18 hrs (2007-08-16 08:49:07 GMT)
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as Ralf says, 'Ausgleich' (as so often) is misleading/superfluous here in English, and this has nothing to do with 'settlement', but however you phrase it, I think the notion of 'receipt/receiving' has to be conveyed somehow to distinguish the inward payment flow from the outward 'Kuponzahlung': both are fixed-rate payments
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Note added at 4 days (2007-08-20 12:24:13 GMT)
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don't really mind which answer you use but I don't understand Robin's comment. This seems to me to be a standard fixed-to-floating swap: fixed amount out to investors, same fixed amount in from swap counterparty, floating amount out to swap counterparty. If Robin, Ralf or an interested passer-by could tell me why this isn't a 'classic swap cash payment', I would be grateful.
4 KudoZ points awarded for this answer.
Comment: "ta"
-2
3 hrs
Emilie Laferrière
France
France
Specializes in field
France
legal & financial translator, ex-lawyer
Native in: French 
Works in: English to French, German to French
Related KudoZ points
:
4
(credit) default payment
... but I found one "compensation payment" on Internet on www.ata-divisions.org/GLD/docs/47_conference/CreditDerivati...
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Note added at 7 hrs (2007-08-15 22:11:04 GMT)
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"(credit) default payment" means "credit default payment" or "default payment", as you like it.
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Note added at 7 hrs (2007-08-15 22:11:04 GMT)
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"(credit) default payment" means "credit default payment" or "default payment", as you like it.
Peer comment(s):
| disagree |
Kieran McCann
: sorry, but credit default swaps are completely different from standard interest rate swaps which is what we are dealing with here.
4 hrs
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OK. "credit" was not for "default swap", but for "default payment' , and was not even compulsory: "default payment" can be enough
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| disagree |
Ralf Lemster
: Thanks for quoting me, but the presentation at last year's ATA conference was about credit derivatives; this is not about defaults at all
12 hrs
|
+1
15 hrs
Ralf Lemster
Germany
Germany
Native in German
Specializes in field
Germany
The language of financial markets
Native in: German
Works in: English to German, German, German to English, and 1 more.
Related KudoZ points
:
475
cash settlement (here: fixed-rate payment)
The IRS referred to here is an exchange of payment obligations, on fixed-versus-floating basis (as they're receving the fixed rate, this is a 'receiver swap' for them). Essentially, the company has exchanged its obligation to pay coupon interest (@ 4.5%) against an obligation to pay a variable rate (in the case at hand, 6m Euribor plus spread). Strictly speaking, therefore, the EUR 31.5 mn received is not a cash settlement, but the cash flow required under the fixed-rate leg of the swap. (I would actually add a comment indicating that the concept of 'Ausgleichszahlung' doesn't really apply here.)
Peer comment(s):
| agree |
RobinB
: And with your comments as well. This really isn't a classic swap cash payment.
4 hrs
|
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