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Barrier Floor

An interest rate floor whose existence or activation depends on a floating rate or index falling below a certain barrier...

Unwind Trigger

A set of conditions that, if and when met, will trigger liquidation of the underlying asset of a swap and...

Monetizing Equity Swap

A swap that entails the exchange of the cash flows on a position in restricted stock or concentrated equity for...

M-Beddo

It stands for municipal embedded derivative security; a municipal derivative which constitutes a municipal note embedded with a derivative such...

Black-Karasinski Model

An interest rate derivative pricing model that was developed by Black and Karasinski in 1991 in an attempt to overcome...

Agricultural Derivative

A derivative which has an agricultural produce (agricultural commodity) as underlying asset. Unlike financial assets, agricultural commodities are valued based...

American Asian Option

An option that combines an Asian option with an American option. Effectively, the combination produces an Asian option which allows...

Asset Swap Option

An option on an underlying asset swap. It gives the holder the right, without the obligation, to buy an asset...

Normal Market

The market wherein the prices of options and futures are negatively related to the closeness of delivery dates (of their...

Asset Swapped Convertible Option Transaction

A financial structure that combines both an option and an asset swap. In other words, it is an option on...