Corporate finance and Euro Overnight Index Average: Difference between pages

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1. EONIA:
 
* This Euro overnight index average is sponsored by the European Banking Federation and the ACI The Financial Markets Association.  


The management and analysis of a firm's shareholder value, particularly in relation to its capital structure and funding, and in relation to any proposals for major acquisitions or disposals.
* It is calculated by the European Central Bank at 7 pm (CET) as a weighted average of all overnight unsecured lending transactions in the interbank market, initiated within the euro area by the same Panel Banks as used in EURIBOR calculations and carried out before the closing of real-time gross settlement (RTGS) systems at 6.00 pm (CET).  


* It is reported on an act/360 day count convention and is displayed to three decimal places.


2.
* EONIA is widely used as a reference rate for derivatives transactions within the euro-zone.


External services supporting this activity, for example banking, legal or accounting advisory and reporting services.
(Distinguish from EURONIA - defined below.)




== See also ==
2. EURONIA:
* [[Capital structure]]
 
* [[Corporate financial management]]
* This Euro overnight index average tracks actual average market euro funding rates each day for settlement that day where repayment is made on the following business day.
* [[FP&A]]
* [[Shareholder value]]


* It is published by the Wholesale Market Brokers Association (WMBA) in London at 5 pm each day. It is the weighted average rate to four decimal places of all unsecured euro overnight cash transactions brokered in London by WMBA member firms between midnight and 4.00pm London time with all counterparties.


(Distinguish from EONIA - defined above.)


===Other resources===
[[Media:2013_10_Oct_-_The_real_deal.pdf| The real deal - corporate valuation, growth and decline, The Treasurer]]


''Real rates of corporate decline often lead to miscalculation, overpaying for acquisitions and disastrous losses.''
== See also ==
 
* [[SONIA]]
''This article shows how to avoid the most common errors, save money and earn valuable exam marks.''
* [[Sterling overnight index average]]

Revision as of 16:53, 15 November 2017

1. EONIA:

  • This Euro overnight index average is sponsored by the European Banking Federation and the ACI The Financial Markets Association.
  • It is calculated by the European Central Bank at 7 pm (CET) as a weighted average of all overnight unsecured lending transactions in the interbank market, initiated within the euro area by the same Panel Banks as used in EURIBOR calculations and carried out before the closing of real-time gross settlement (RTGS) systems at 6.00 pm (CET).
  • It is reported on an act/360 day count convention and is displayed to three decimal places.
  • EONIA is widely used as a reference rate for derivatives transactions within the euro-zone.

(Distinguish from EURONIA - defined below.)


2. EURONIA:

  • This Euro overnight index average tracks actual average market euro funding rates each day for settlement that day where repayment is made on the following business day.
  • It is published by the Wholesale Market Brokers Association (WMBA) in London at 5 pm each day. It is the weighted average rate to four decimal places of all unsecured euro overnight cash transactions brokered in London by WMBA member firms between midnight and 4.00pm London time with all counterparties.

(Distinguish from EONIA - defined above.)


See also

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