Cum-Cum-Geschäft

English translation: Cum/ex trades

GLOSSARY ENTRY (DERIVED FROM QUESTION BELOW)
German term or phrase:Cum-Cum-Geschäft
English translation:Cum/ex trades
Entered by: Jan Liebelt

08:49 Jun 13, 2016
German to English translations [PRO]
Bus/Financial - Investment / Securities / Share-trading
German term or phrase: Cum-Cum-Geschäft
This expression comes up (excuse the pun) in a document I am translating. However, for confidentiality reasons I cannot quote the source sentence.

According to Wikipedia, the term is defined thus: "Ein Cum/Cum-Geschäfte oder Cum-Cum-Geschäfte (von lateinisch cum ‚mit‘ für Wertpapiere mit Dividenenausschüttungsanspruch) sind eine steuerrechtlich problematische Kombination aus dem Verkauf einer Aktie kurz vor dem Dividendentermin und Rückkauf derselben Aktie kurz nach dem Dividendentermin" (https://de.wikipedia.org/wiki/Dividendenstripping#Cum.2FCum-...

As far as I can tell, this is distinct from a "Cum-Geschäft" (purchase followed by resale after payment of the dividend), i.e. dividend stripping.

If there is not a one-to-one English expression, could I refer to this more generally as dividend stripping, even though this is more encouragement to do so?

Because I am not a finance expert and therefore not necessarily in a position to determine which is the "right" answer among alternatives proposed, please back your answers up with confirmatory examples (URLs), wherever possible.

Many thanks in advance for your assistance.
Jan Liebelt
France
Local time: 15:00
Cum/ex trades
Explanation:
Found on the website of Ernst&Young.
(Posted on your request, Ramey.) :)
http://www.ey.com/Publication/vwLUAssets/Germany_investigate...$FILE/2016G_CM6139_Germany%20investigates%20banks%20regarding%20cum-ex%20trades.pdf
Selected response from:

Camilla Seifert
South Africa
Local time: 16:00
Grading comment
I disagree with philgoddard because what's required here is the principle - dividend-stripping, not necessarily the direction. Also, I've only ever found "cum-cum" used in German texts.
4 KudoZ points were awarded for this answer



Summary of answers provided
4 +2cum/cum trade
philgoddard
3 +1Cum/ex trades
Camilla Seifert


Discussion entries: 9





  

Answers


54 mins   confidence: Answerer confidence 3/5Answerer confidence 3/5 peer agreement (net): +1
Cum/ex trades


Explanation:
Found on the website of Ernst&Young.
(Posted on your request, Ramey.) :)
http://www.ey.com/Publication/vwLUAssets/Germany_investigate...$FILE/2016G_CM6139_Germany%20investigates%20banks%20regarding%20cum-ex%20trades.pdf

Camilla Seifert
South Africa
Local time: 16:00
Native speaker of: Native in EnglishEnglish, Native in GermanGerman
PRO pts in category: 4
Grading comment
I disagree with philgoddard because what's required here is the principle - dividend-stripping, not necessarily the direction. Also, I've only ever found "cum-cum" used in German texts.
Notes to answerer
Asker: Hi Camilla, I really don't know why, but your URLs continue to be corrupted, presumably by ProZ. Is there any way you could repost them or - better still - create and post a bitly link? Thanks!

Asker: Thanks!


Peer comments on this answer (and responses from the answerer)
agree  Ramey Rieger (X)
1 hr

neutral  oa_xxx (X): There is a difference between cum/cum and cum/ex but on the right track
2 hrs

neutral  philgoddard: Cum/ex means the shares are bought cum dividend and sold ex dividend. It's a very similar form of tax avoidance to cum/cum, but it would be wrong to translate one as the other.
7 hrs
Login to enter a peer comment (or grade)

8 hrs   confidence: Answerer confidence 4/5Answerer confidence 4/5 peer agreement (net): +2
cum/cum trade


Explanation:
"... banks including Germany's Commerzbank and Deutsche Bank arranged the widely used tax-avoidance scheme dubbed 'dividend stripping' or 'cum cum' trades, costing the tax payer 5 billion euros (4 billion pound) in lost revenue since 2011."


    Reference: http://uk.reuters.com/article/uk-commerzbank-taxes-idUKKCN0X...
philgoddard
United States
Native speaker of: English
PRO pts in category: 34

Peer comments on this answer (and responses from the answerer)
agree  Björn Vrooman: See discussion box.
18 hrs

agree  oa_xxx (X)
2 days 19 hrs
Login to enter a peer comment (or grade)



Login or register (free and only takes a few minutes) to participate in this question.

You will also have access to many other tools and opportunities designed for those who have language-related jobs (or are passionate about them). Participation is free and the site has a strict confidentiality policy.

KudoZ™ translation help

The KudoZ network provides a framework for translators and others to assist each other with translations or explanations of terms and short phrases.


See also:
Term search
  • All of ProZ.com
  • Term search
  • Jobs
  • Forums
  • Multiple search