Tag: bank

Islamic Banking definition explanation

What is Islamic Banking?
A banking system that is based on the principles of Islamic law (also known Shariah) and guided by Islamic economics. Two basic principles behind Islamic banking are the sharing of profit and loss and, significantly, the prohibition of the collection and payment of interest. Collecting interest is not permitted under Islamic law. Read more for examples and further explanation including related video clips and also comments
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General Provisions definition explanation

What is General Provisions?
A balance sheet item representing funds set aside by a company to pay for losses that are anticipated to occur in the future. The actual losses for the earmarked funds have not yet occured, but the general provisions account is counted as an asset on the balance sheet. For banks, a general provision is considered to be supplementary capital under the first Basel Accord. Read more for examples and further explanation including related video clips and also comments
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Euro Deposit definition explanation

What is Euro Deposit?
The equivalent of a money market rate on cash deposits made in the euro currency. Euro deposit rates will usually be quoted as “”money market euro deposit rates”” and are typically only offered to U.S. investors with minimum investments of greater than 10,000 euros. Euro deposits pay a floating interest rate (like a money market account) and offer the chance for capital appreciation if the euro appreciates against the investor’s home currency (presumably the dollar). Euro deposit rates are based on the euro interbank offer rate, which is set by the European Central Bank. Read more for examples and further explanation including related video clips and also comments
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