The term issuing credit refers to the reputation of the bank when issuing securities.
An issue loan is granted by special issuing banks specializing in this field. The issuer has to issue securities that are to be placed on the securities market in order to obtain capital for the issuer that can be used for investments in the company. In doing so, the bank grants the issuer a credit by firmly holding the securities of the company. This gives the bank securities and, as a rule, shares in the respective company. The issuing company receives a capital increase through the transfer of the securities. The securities serve as collateral for the issuing bank, which they can use as an investment.
A high emission credit is essential for the success of emissions and is determined mainly by successful emissions of this bank in the past.
The pre-financing of the emission proceeds by the issuing banks is also referred to as an emission credit. Falsely, since it is not a loan against a firm takeover of the securities (shares, bonds) to be issued, but a prepayment of the proceeds of the issue. Edit sourcetext Single-level Edit source text
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