Translation of "Festvergütung" in English

The Guidelines require that a debt instrument, in order to qualify as such, must have a predominant component of fixed remuneration.

In the future, the remuneration of the Supervisory Board shall be changed to a pure fixed remuneration.

The Chairman and the members of the Supervisory Board receive a purely fixed compensation.

We are therefore retaining the conventional fixed compensation.

Members of the Supervisory Board receive fixed remuneration plus reimbursement of out-of-pocket expenses.

Each year Bayer provides a hypothetical contribution amounting to 42% of the respective fixed annual compensation.

The annual pension granted equals at least 15% of final fixed annual compensation.

The compensatory payment amounts to 100% of the average fixed compensation for the twelve months preceding their departure.

The compensatory payment amounts to 100% of the average fixed compensation for the twelve months preceding their departure.

Bayer provides a hypothetical contribution amounting to 33% of the respective fixed compensation each year.

But the employers also quickly learned that the best kind of employment contract is one that offers employee not just a fixed contract, but also the possibility of a bonus, a sort of gift for good performance that is outside of any contract provisions.

The second issue concerns the interpretation of what is ‘fixed’ and what is ‘variable’ remuneration.

In particular, the Authority will take into account the degree of risk in the target company's venture borne by the investor, the potential losses borne by the investor, the predominance of profit-dependent remuneration versus fixed remuneration, and the level of subordination of the investor in the event of the company's bankruptcy.

At the Commission’s request, the EBA looked into the use of these allowances and found that they were often wrongly classified as ‘fixed’ remuneration.

Also, the question on whether a staff member prefers variable or fixed remuneration may essentially be down to personal or cultural preferences.

Moreover, according to EBA estimates, in 2014 the total fixed remuneration cost of identified staff on an aggregate basis was relatively small compared with the net profits of institutions.

Looking at European averages, data collected by the EBA shows that, while average fixed remuneration per identified staff has increased in recent years, average variable remuneration has decreased.

The IBG Fund explains the remuneration structure of its silent participations, in order to demonstrate that fixed remuneration is the dominant component of the total annual remuneration of 13 %.

Point 4.3.3 of the guidelines stipulates that ‘the Commission will have regard to the economic substance of the instrument rather than to its name and the qualification attributed to it by the investors … [taking] into account the degree of risk in the target company’s venture borne by the investor, the potential losses borne by the investor, the predominance of profit-dependent remuneration versus fixed remuneration, and the level of subordination of the investor in the event of the company’s bankruptcy … the treatment applicable to the investment instrument under the prevalent domestic legal, regulatory, financial, and accounting rules, if these are consistent and relevant for the qualification.’

The taking-up of the marketing premium is however optional, i.e. EEG installation operators can remain in the fixed remuneration system or return to it any month.

To establish whether the IBG Fund silent participations should be classified as debt instruments or equity instruments, the opening decision examined the economic substance of the instruments in line with point 4.3.3 of the guidelines, taking into account the degree of risk and potential losses borne by the investor, whether profit-dependant remuneration or fixed remuneration was predominant, the level of subordination in the event of bankruptcy and the treatment of the investment instrument under the applicable domestic legal, regulatory, financial, and accounting rules.

Surveyed staff did not seem to feel that a greater proportion of fixed remuneration had an impact on their motivation or risk-taking (neither to take more, nor less risks).

Following the entry into force of CRD IV, institutions made frequent use of so-called role-based allowances, which were treated as fixed remuneration (thus allowing more variable remuneration).

The Land wished to transfer that fund to Helaba in the form of a silent partnership contribution of unlimited duration in return for a fixed remuneration.

Setting a fixed remuneration, as in the case of BayernLB, removed forecasting risks and the return was therefore generally lower.

As a risk profile analysis of various equity capital instruments had shown, silent partnership contributions, given a comparable share of liability and in view of their fungibility as a contribution of limited duration with a fixed remuneration, strongly resembled profit participation certificates.

It criticised not only the suitability of the CAPM for determining the expected return on an investment which should yield a fixed remuneration, but also the factors employed (risk-free interest rate, market-risk premium and beta value).

The remuneration premium of the Deutsche Bank perpetual (agreed fixed-interest remuneration of 6,60 %) is put here at 1,94 % a year in relation to 10-year federal loans in order to make it more comparable with the 12-year silent partnership contribution to Dresdner Bank (1,65 % above 10-year federal loans) and thus to get some idea of the level of the perpetuity premium.