Clearing The netting and settlement of claims and liabilities arising from securities and derivatives transactions Clearing is typically performed by a central institution, the so-called clearinghouse. The clearinghouse determines the bilateral net debt of buyers and sellers involved in exchange transactions, and, at the end of the trading day, provides its members with a summary […]
Dual Listing (DL) A second listing on an exchange that isn’t the company’s domestic bourse With a dual listing, also called a secondary listing, a company’s shares are placed on an exchange other than its domestic exchange. This can happen at the behest of the company or a market maker. A second listing is therefore […]
Double listing The listing of a security on more than one exchange. Companies become listed on a second exchange in order to reach a broader-based public and attract additional investors. Because the fragmentation of share capital between different exchanges often results in diminished liquidity, companies usually undertake a capital increase in connection with a double […]
Disclosure requirement (Ad-hoc disclosure) Obligation of issuers of securities to immediately report and publish any information that might have a bearing on the price of their securities. The regulations pertaining to the disclosure requirement are contained in section 15 of the German Securities Trading Act, which states that issuers of securities admitted to the Regulated […]
Directors’ Dealings and Insider Trading on the Frankfurt Stock Exchange Private purchases and sales by management of shares they own in the company they manage Directors’ dealings cover securities transactions by people with management duties at publicly traded companies. Since 1 July 2002, such transactions are subject to new notification rules. Per section 15a of […]
Direct offering Type of issue in which the issuer places its securities directly with investors, without the support of an underwriting syndicate Direct offerings are typically undertaken by banks and insurance companies – i. e., companies that have already developed business relations with the investing public and established an extensive sales system which they can […]
Dealer Persons or companies that function as intermediaries in the purchase and sale of securities. Dealers are also authorized to trade securities for their own account. CONTACT INFO@FSELISTINGS.COM TO LIST YOUR COMPANY ON THE FRANKFURT STOCK EXCHANGE
Business plan Plan that documents the viability of a company In its business plan, a company outlines its business model and its medium-term goals. The main reason for writing up a business plan is to give providers of outside capital – and in particular venture capital companies – a means of evaluating the company’s approach […]
Business angel Private investor who supports a start-up company by providing capital and what is usually many years’ management experience Business angels are typically former entrepreneurs. They support new companies in their early stages by providing risk capital. In addition, they advise the management team or assume management tasks themselves. In return for their support, […]
Brokerage commission Fee paid by investors to cover the intermediation function performed by brokers When a security is bought or sold on the floor, the investor is required to pay a brokerage commission that is determined on the basis of the order size. In the case of shares, it is calculated as a percentage of […]