Glossary entry (derived from question below)
German term or phrase:
EKK angesetzt
English translation:
cost of equity is (calculated/recognised) at
- The asker opted for community grading. The question was closed on 2018-09-25 15:54:07 based on peer agreement (or, if there were too few peer comments, asker preference.)
Sep 22, 2018 13:38
5 yrs ago
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German term
EKK angesetzt
German to English
Bus/Financial
Finance (general)
finance, equity
Die Eigenkapitalrendite (EKR) ist das Verhältnis des Gewinns zum Eigenkapital einer Bank.
Die Relation zeigt an, wie effizient ein Finanzhaus die Mittel einsetzt, die ihm die Aktionäre zur Verfügung stellen.
Im Durchschnitt kommen die siebzehn kotierten Kantonal- und Retailbanken auf eine EKR von 6,1%.
Dem stehen die Eigenkapitalkosten (EKK) gegenüber, die bei der Investition des Kapitals entstehen.
Die EKK werden oft als Summe des risikolosen Zinses (langfristige Staatsanleihen) sowie markt- und branchenspezifischer Risikofaktoren berechnet.
Im Schweizer Retail Banking werden EKK von 6,5 bis 8% angesetzt, was die meisten Banken mit ihrer EKR nicht decken.
There is a formula e.g. CAPM used to calculate (berechnen) the cost of equity (EKK here) based on the risk-free rate plus company/industry beta, but what is the sense of COE rates being 'angesetzt' which would usually be rendered as 'set' here?
Die Relation zeigt an, wie effizient ein Finanzhaus die Mittel einsetzt, die ihm die Aktionäre zur Verfügung stellen.
Im Durchschnitt kommen die siebzehn kotierten Kantonal- und Retailbanken auf eine EKR von 6,1%.
Dem stehen die Eigenkapitalkosten (EKK) gegenüber, die bei der Investition des Kapitals entstehen.
Die EKK werden oft als Summe des risikolosen Zinses (langfristige Staatsanleihen) sowie markt- und branchenspezifischer Risikofaktoren berechnet.
Im Schweizer Retail Banking werden EKK von 6,5 bis 8% angesetzt, was die meisten Banken mit ihrer EKR nicht decken.
There is a formula e.g. CAPM used to calculate (berechnen) the cost of equity (EKK here) based on the risk-free rate plus company/industry beta, but what is the sense of COE rates being 'angesetzt' which would usually be rendered as 'set' here?
Proposed translations
(English)
| 4 +1 | cost of equity is (calculated/recognized/set) at |
Ted Wozniak
|
Proposed translations
+1
49 mins
Ted Wozniak
United States
United States
Native in English
Specializes in field
United States
Bridging the Language GAAP-
Native in: English (Variant: US) 
Works in: German to English
Related KudoZ points
:
511
Selected
cost of equity is (calculated/recognized/set) at
(more or less literally) The CoE in Swiss retail banking is (calculated/recognized/set) at rates from 6.5% to 8, which most of the banks do not cover with their RoE.
But better would the CoE "ranges from"
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Note added at 50 mins (2018-09-22 14:28:39 GMT)
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which is not covered by most bank's RoE
But better would the CoE "ranges from"
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Note added at 50 mins (2018-09-22 14:28:39 GMT)
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which is not covered by most bank's RoE
Note from asker:
| Yes 'ranges from' considered that too...CBs can 'set' IR policy but a bank cannot set its own CoE. Recognized/Calculated would work too. Thanks |
Peer comment(s):
| neutral |
Gordon Matthews
: I try to avoid the use of parentheses and giving alternative translations, such as "recognised/calculated/set". I would suggest: "In Swiss retail banking the reported COE ranges from 6.5% to 8%." "reported" seems to me to better portray what is happening.
1 hr
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| agree |
writeaway
: I don't know but I sure as heck know that you do
1 day 1 hr
|
4 KudoZ points awarded for this answer.
Comment: "Thanks. Bearing this in mind, I will use calculate or recognise rather than set."
Discussion