Banken for en verden i endring The bank for a ... - BNP Paribas

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Banken for en verden i endring The bank for a ... - BNP Paribas

• glossary

Free float The amount of capital which is not under the control of stable shareholders. In other words, capital that

can be freely bought and sold and is therefore available to investors, excluding for example shares held

by the State, or shares that are subject to shareholders’ pacts and so on. On 1 December 2003, the stocks

that make up the CAC 40 index became weighted according to their free floats, as opposed to their market

capitalisations. This change was born out of a desire to be consistent with the major world market indexes

which already function in this manner, and to ensure greater comparability between industries and shares.

BNP Paribas has a free float of 95% – one of the highest on the Paris stock market.

Gain/loss on securities Positive/negative difference between the sale price of a security and the purchase price.

Goodwill Difference between the cost of shares and the Group's equity in the fair value of the underlying net assets.

Hedge funds Funds that take both long and short positions, use leverage and derivatives and invest in many markets.

High Environmental Quality

(HEQ) Standard

IAS International Accounting Standards.

The purpose of the High Environmental Quality (HEQ) approach is to ensure better control of a building’s life cycle

by taking all its likely impacts into account from the design stage: materials consumption, energy management,

comfort, fit within its surroundings and maintenance.

IFRS International Financial Reporting Standards.

IFU (Imprimé Fiscal Unique) French tax return issued by a bank or broker, listing all the securities transactions carried out on behalf of the

taxpayer and all the coupon payments made to the tax payer.

Institutional investor Financial institution which, by definition or by virtue of its articles of association, is required to hold a certain proportion

of its assets in stocks and shares. Examples include insurance companies and pension funds.

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GLOSSARY

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