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Eurodollar Futures

A futures contract on a Eurodollar interest rate such as the 3-month (90-day) Eurodollar interest rate. In the US markets,...

Margin Valuation Adjustment

It is a type of cross value adjustment/ x-value adjustment (XVA) that constitute the part of cost relating to initial...

Margin

With respect to buying on margin, it is the money put up in a margin account to partially finance the...

Margin Account

Cash and marketable securities an investor deposits with a broker to guarantee that the former will honor or keep up...

Binary Option

A type of exotic options in which the payoff is either a fixed amount for an in-the-money option or nothing...

Participating Range Forward

A variant of the range forward contract which has some type of participation in the movement of the underlying below...

Participating Interest Rate Agreement (PIRA)

An interest rate collar that allows an investor or borrower to mitigate or limit exposure to unfavorable interest rate changes...

Participating Swaption

An option that allows the holder to enter into a participating swap. In other words, the holder has the right...

At-The-Money Strike Price

The strike price of an option which is equal to the spot price of its underlying. The spot price can...

At-Market Swap

An interest rate swap whose fixed rate payment coincides with currently prevailing coupon rates on debt instruments with similar times...