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Cash Bond Spread

The spread that would be realized over the whole risk-free spot rate curve if a given risky security such as…

Covered Bond

A type of debt-based derivative instrument that provides a much safer investment than asset-backed or mortgaged-backed securities. This bond is…

Cash Cow

A firm that generates cash in excess of what is needed to keep up its business or earning power. A…

Convertible Preferred Stock

A preferred stock that allows the holder to convert into common stock. It gives the holder a preference in the…

Clean Price of a Convertible

The price of a convertible as quoted exclusive of accrued interest. That is, the accrued coupon is not not part…

Collateral Haircut

An adjustment to the market value of collateral (collateral securities posted to secure a lending/ borrowing transaction such as repo)...

Church Bond

A bond that belongs to the class of socially responsible bonds (or religiously responsible bonds so to speak). It is…

Callable Nonconvertible Preferred Stock

A callable preferred stock that which doesn’t allow the investor (holder) to convert into common stock. However, the issuer has…

Certificate of Deposit Index

An index that measures the 12-month average of the monthly average yields (dealer bid rates) of 3-month certificates of deposit…

Credit Improvement Swap

A bond swap that aims to improve the overall credit quality of a portfolio. This involves swapping a low creditworthy…