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Binary LIBOR Swap

An interest rate swap in which a fixed rate is exchanged for a floating rate, with the latter being set...

Up-and-In Put

An up-and-in option that becomes effective, i.e., is activated, if the price of the underlying exceeds a preset level. The...

Property Derivative

A derivative which has a commercial property as underlying. Most often, this derivative is in the form of a swap...

Real Estate Derivative

A derivative in which the underlying is a real estate price or index. Historically, the New York Real Estate Securities...

Broken Date

A date that doesn’t fall on standard maturities of forward/ futures contracts. Banks normally quote forward rates for specific standard...

Broken Date Deal

A deal involving a derivative contract whose maturity date is not associated with a standard maturity (reference point). Banks usually...

Present Value of a Basis Point

The dollar amount by which the market value of a $100 par bond would change following a change of one...

Asian Cap

An interest rate cap (i.e., a contract on a maximum interest rate) whereby the seller pays the buyer, at periodic...

Asian Floor

An interest rate floor (i.e., a contract on a minimum interest rate) whereby the seller pays the buyer, at periodic...

Asset-Based Swap

An interest-rate swap in which a fixed rate is exchanged for a floating rate, where the fixed payment stream is...