current carry
English translation: laufende Erträge (ggf. auch "laufende Carry")
| 08:38 Jan 15, 2004 |
| English language (monolingual) [PRO] Bus/Financial / Bonds | |||||||
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|  Selected response from: Ralf Lemster Germany Local time: 17:51 | ||||||
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| SUMMARY OF ALL EXPLANATIONS PROVIDED | ||||
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| 5 +3 | laufende Erträge (ggf. auch "laufende Carry") |
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| 4 | the financial capital necessary to purchase and buoy bond prices |
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Answers
10 mins confidence: 
the financial capital necessary to purchase and buoy bond prices Explanation: No further explantation required, unless demanded. |
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2 hrs confidence: peer agreement (net): +3
peer agreement (net): +3laufende Erträge (ggf. auch "laufende Carry") Explanation: "Carry" is a technical term for the differential between a bond's coupon interest rate (which represents income for its holder) and the short-term money-market rate (which reflects the financing costs incurred as a result of holding the bond). Carry is positive with a normal yield curve (where short-term rates are below long-term rates); it is negative with an inverted curve (where short-term rates are higher than long-term rates). What they're trying to say here is that the return achievable in emerging markets is equivalent to the current difference between refinancing rates and bond yields. If your text is targeted at a professional audience, you can use the term "Carry" in German - this is widely used among bond traders and institutional investors. HTH, Ralf -------------------------------------------------- Note added at 22 hrs 28 mins (2004-01-16 07:07:15 GMT) -------------------------------------------------- Just ignore the German term... |
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