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Asset Mismatch

A situation that arises when the risk associated an asset is to be hedged but there is no futures contract on that...

ASW

An abbreviation for asset swap spread; a spread that is usually paid (when necessary) by the seller of an asset swap, in addition to...

Accumulator Option

A regular forward contract in which the notional is determined over the lifespan of the option rather than as a preset amount. This structured...

ATM Spot

An abbreviation for at-the-money spot; the situation in which the strike of an option is set equal to the spot rate (e.g., FX...

ATM Straddle

A straddle whose strike is equal to (or closest to) the price of its underlying asset. It is a combination of a call option and a option...

At-The-Money Spot

The situation in which the strike of an option is set equal to the spot rate (e.g., FX rate) at which the option delta is hedged....

Accrued Interest

The interest which is earned by the holder of a debt instrument or interest rate derivative but not yet paid. In bonds, it is...

Annuity Swap

An amortizing swap in which an irregular payment streak is exchanged for a regular payment flow of the same present value. To...

Accumulator

A financial derivative which an issuer sells to investors and is obliged whereby to sell shares of a specific stock or security...

ATMF

An abbreviation for at-the-money forward; the situation in which the strike of an option is set equal to the forward price (e.g., FX rate) for the same expiration...