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Replacement Cycle

The frequency with which an asset (usually a depreciable asset) is replaced by another asset, either with similar/ identical features,...

Option Beta

In essence, beta is a measure of how a stock’s volatility changes in relation to the overall market. An option's beta is the covariance of the option's return...

One-Touch Option

A type of exotic option in which the holder receives a payout once the price of the underlying asset reaches or exceeds a specific...

Baseball Option

A barrier option which will be knocked out or deactivated if the outstirke barrier has been hit or touched three times during the option's life....

Riba al-Fadhl

Arabic (ربا الفضل) for riba of surplus/ riba of excess; a type of riba that exists in, or results from, a sale transaction...

Riba al-Nasi’ah

Arabic (ربا النسيئة) for a type of riba that exists in, or results from, a sale transaction (ba'i or bay') which unduly benefits one...

Riba

Basically, the predetermined interest which a lender charges on, and collects from, a borrower. The lender receives this interest over...

Riba al-Qard

Arabic (ربا القرض) for riba associated with lending and borrowing (i.e., received in lending or paid in borrowing). It is a type...

TARF

It stands for target redemption forward; a structured product (specifically a target redemption note) which consists of a strip of forwards each of which...

Target Redemption Forward

A structured product (specifically a target redemption note) which consists of a strip of forwards each of which has its payout as the difference between...