A basis point (bps or BP) is 0.01 percentage point and equals $1,000 annually on a contract protecting $10 million...
A basis point (bps) is 0.01 percentage point and equals $1,000 annually on a contract protecting $10 million of debt...
The change in the dollar value of one basis point of a swap (swap DV01) in response to one basis point parallel shift in...
An option that can be exercised on discrete dates before expiration. In other words, the holder has to mark two conditions for...
The payoff of a derivative contract that moves one-for-one with changes in the underlying price or rate. In general, derivatives subdivide into two common...
A credit derivative in which the investor, that is, the credit protection seller, makes an upfront payment to the credit protection buyer when the latter...
A credit derivative in which the investor, i.e., the credit protection seller, doesn't make an upfront payment to the credit protection buyer when the latter...
A covariance forward contract of two underlying prices/rates. This swap pays the excess of the realized covariance between two assets (such as currencies) over a constant...
A vanilla swap which has a zero net present value (NPV). That is, it involves no initial exchange of notional principal. More specifically, the present...
An asset swap package where an investor pays par (100%) to an asset swap seller for a particular fixed-coupon bond issued by...