Glossary 2014

IFR Asia Awards 2014
4 min read

Some alternative definitions for the themes of the year.

To see the digital version of this report, please click here.

Additional Tier 1:Bank capital instrument that investors buy because it looks like a bond. No, wait, it’s equity. No, hang on, it might only become equity in the future. Heck, who knows why anyone buys the stuff.
Alibaba:1. A folk tale in which a slave does most of the hard work for the hero and gets very little in return;
2. A fabled IPO in which… never mind.
Anonymous Analytics:Hedge-fund plaything that promotes short selling as a form of social justice. Not to be confused with another AA that actually helps people.
Anti-mar:Mysterious chemical designed to leave no trace of fingerprints on your smartphone – or, possibly, on your balance sheet.
Bank capital:Financial safety net. Something Asian lenders thought they had plenty of before Basel III.
Basel III compliant:In Asia, any bank capital security that gives regulators the power to blow up their country’s financial system.
Block trade:Preferred route for banks looking to make a sizable amount of money from the equity capital markets overnight, unless that deal involves CIC and Noble Group.
Bookbuild:Public order-taking process that only starts once a deal is already covered.
Cornerstone:Absolutely anyone willing to be named as a buyer of an IPO.
Frontier market:Country where the government pays 5% for 10-year US dollar debt.
G3:The world’s three major funding currencies. The US dollar, renminbi and Australian dollar.
Global connectivity:A phrase used to take credit for other people’s work. Especially popular among Asian bankers, describing US financings, for example, “This deal really showcased the firm’s global connectivity.”
High yield:Over 3%.
Mid-cap:Singapore bond issuer
Modify:verb. To take an optimistic view of terrible companies, solely because the country has a good prime minister.
Myanmar:1. A country in which no reputable bank should do any business (2012);
2. A country in which every reputable bank should be doing business (2014).
Occupy Hong Kong:1. Something that bankers should never voice their opinion on;
2. Reason for HSBC to cover its ground floor space with scaffolding.
Ping An:New expletive at Credit Suisse and Goldman Sachs.
PONV:Point of Non-Viability. In Asian banking, the point at which regulators admit that their state-owned banks need to be, err, state owned.
Premier League:A place where Asian tycoons pay millions for the chance to lose all of their management credibility.
Princeling:Former banker.
Rebate:In private banking, a replacement for credit analysis.
Relationship lender:A banker who volunteers for a jog with an Indonesian finance official in freezing temperatures in Tokyo. (See also:
Quantitative easing:A method central banks use to create jobs (in investment banks).
Qingdao:Chinese city famous for beer, seafood, and for making commodities disappear.
RBI:Restricter of Bond Innovation.
Signing:In loans parlance, an excuse to travel far outside your own country, for example, to sing Bollywood songs in Turkey.
Sovereign wealth funds:Institutions established to preserve the long-term wealth of their countries through investments in exactly the same securities as mutual funds, but three months later.
Sponsor:In Hong Kong IPOs, the can carrier.
Umbrella revolution:Anti-social walking style.
Weekends:Time not spent working – a new concept this year among Goldman Sachs juniors.
WH Group:In Hong Kong IPOs, proof that the wrong price is still the wrong price even if you hire 29 banks to say otherwise.