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Settlement Price

The daily price at which all trades are cleared and all accounts between clearing accounts are settled by a clearing…

Short Call Time Spread

An option trading strategy which involves selling a far-month call option and buying a near-month call in order to benefit...

SN-CDS

It stands for single-name credit default swap; a type of credit default swap (CDS) where there is only one reference...

Synthetic Preferred Equity Redemption Cumulative Stock

A preferred equity redemption cumulative stock (PERCS) that is designed to replicate its underlying mandatory conversion preferred stock. A key…

Short Put Diagonal Calendar Spread

A put diagonal calendar spread which is designed to profit on the expectation that the underlying would break out in…

Securitized Product

A financial product that is created by pooling together a number of financial assets in order to come up with...

Spot Delta Premium Adjusted

A spot delta (standard sensitivity of a vanilla option with respect to changes in the spot rate/ price) that accounts...

Sticky Strike Rule

A rule that assumes that the implied volatility for an option with a given strike price and maturity will not...

Skew

For options and similar types of derivatives, the skew is the slope of the implied volatility curve for a given...

Synthetic CDO Spread

The CDO tranche spread that is defined by a number of factors, mainly including: attachment point, tranche width, swap maturity,...