The Glossary found here refers exclusively to the services provided by CX Financia and should be interpreted in conjunction with the services provided and not the dictionary definition.
Alternative Investment Fund (AIF)
A collective investment scheme (CIS) as defined by the Alternative Investment Fund Manager Directive (AIFMD)
Alternative Investment Fund Manager (AIFM)
A firm authorized and regulated by CySEC for the provision of fund management control of an alternative investment fund
A legal entity licensed to carry on banking business under the provisions of the banking law
The financial institution needs to obtain the best price for a trade in the shortest possible time. It is a precautionary measure placed on financial institutions to ensure they meet their clients’ best interests
A technology for creating a digital decentralized transaction ledger making it virtually incorruptible
An agent or company act as the intermediary between liquidity providers and clients.
Trading options that pay out a pre-set and fixed amount if the underlying asset price falls within the specifications of the trader.
A generic term encompassing authorized unit trusts, common investment funds, CISs and investment trust companies.
A person that holds an account. A trader who goes to a broker to make transactions.
Operates independently and is responsible for:
monitoring and assessing the adequacy and effectiveness of the policies and procedures.
advising and assisting of the relevant persons responsible for carrying out investment services and activities.
Contract For Difference [CFD]
Financial derivatives that allow traders to take advantage of prices moving up or prices moving down on underlying financial instruments and are often used to speculate on those markets.
A transaction fee charges by a service provider usually calculated percentage wise.
The assessment of the ability to payback a loan.
The term used for digital currencies based on blockchain technology
Cypriot Investment Firm (CIF)
A company that is: (a) established in Cyprus (b) authorized by the Cyprus Securities and Exchange Commission (CySEC) to provide one or more investment services to third parties and/or perform one or more investment activities.
Cyprus Securities and Exchange Commission (CySEC)
CySEC operates on the basis of the Cyprus Securities and Exchange Commission (establishment and responsibilities) law and is the supervisory authority of investment firms (IFs).
Authorized financial institution and national government and their corresponding offices.
European Securities and Markets Authority (ESMA)
An EU authority which is responsible both for drafting the legislation and for guiding it through EU implementation, overseeing national implementation and enforcement.
Foreign Exchange (FOREX, FX)
The exchange of one currency for another or the conversion of one currency into another currency
Initial Coin Offering (ICO)
The process of acquiring initial funds for a project through the issuing of digital coins
Activities or services undertaken in relation to a financial instrument.
Investor Compensation Fund (ICF)
Fund to secure the claims of the covered clients against the members of the fund through the payment of compensation.
The necessary money needed to maintain a position. The required initial deposit of collateral to enter into a position or foreign exchange trade.
A demand for additional funds to cover open trade positions.
A legal entity that quotes both the buy and sell prices.
State within the European Union (EU).
The supervisory review pillar of the New Basel Capital Accord which requires supervisors to undertake a qualitative review of a bank’s capital allocation techniques and compliance with relevant standards.
Multilateral system managed or operated by a market operator that brings together, or facilitates the bringing together, of multiple third-party buying and/or selling interests in financial instruments.
The chance in which a negative result will occur.
The amount of money a person is willing to lose
The risk management function is responsible for the implementation and maintenance of adequate risk management policies and procedures that enable the bank to identify all risks they are subject to and risk tolerance levels will be set.
Persons who are in the position to directly exercise significant influence over management.
Straight Through Process (STP)
A legal entity that focuses on receiving and transmitting player orders.
Supervisory Review and Evaluation Process (SREP)
The processes and measures applied to ensure that CIFs have sufficient capital to support all material risks to which their business exposes them.
or equities refer to partial ownership of a company’s assets and profits. If you own a stock of a particular company, you are entitled to a proportional share of its profits. Stocks of companies can be bought and sold in stock markets, such as the New York Stock Exchange.
A person established in a member state, who, acting under the full and unconditional responsibility of only one IF of a member state, on whose behalf it acts, promotes investment or/and ancillary services, attracts clients or prospective clients, receives and transmits client orders in respect of investment services or financial instruments, places financial instruments or/and provides advice to clients or prospective clients in respect of those financial instruments or services
Undertaking for Collective Investment in Transferable Securities (UCITS)
An undertaking with the sole object of: (a) being the collective investment in transferable securities and/or other liquid financial instruments (b) using capital raised from the public (c) operating on the principle of risk-spreading (d) having units which are redeemed or repurchased out of the undertaking’s assets on request of the investor.