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Bermuda Swaption

A type of callable LIBOR exotic in which the underlying instrument is a plain-vanilla fixed-for-floating swap. Therefore, the coupon at…

Auto-Callable Absolute Return Barrier Note

An absolute return barrier note (ARBN) which is generally “continously callable”- i.e., with continuous call dates. This allows the note…

CMO Floater

A floater that involves a short position in a strip of caps over the life of collateralized motgage obligation (CMO)…

Capped Style Call

A capped option that constitutes a long call position in which a cap is placed on the maximum payout of…

Auto-Callable ARBN

An absolute return barrier note (ARBN) which is generally “continously callable”- i.e., with continuous call dates. This allows the note…

Municipal Embedded Derivative Security

aa municipal derivative which constitutes a municipal note embedded with a derivative such as a swap, cap, option, etc. By…

Momentum Cap

An option in which the cap level is based on the last rate set for the underlying floating rate (LIBOR)....

Knock-Out Cap

A barrier cap whereby protection ceases to exist or deactivates only if the floating interest rate crosses the barrier on…

Interest Rate Caption

An option on a cap. In other words, an interest rate caption is an option to buy or sell an…

Lookback Step-Up Cap

A step-up cap which applies the minimum level of a given benchmark rate (index rate) as observed in the reset...