Warning: Creating default object from empty value in /hermes/bosnacweb04/bosnacweb04ai/b1550/ipg.lantanasolutionsbh98965/fincyclopedia/wp-content/plugins/independent-core/admin/ReduxCore/inc/class.redux_filesystem.php on line 29 Derivatives – Page 246 – Fincyclopedia
[wpdreams_ajaxsearchpro id=44 ]
Notice: Undefined variable: myString in /hermes/bosnacweb04/bosnacweb04ai/b1550/ipg.lantanasolutionsbh98965/fincyclopedia/wp-content/themes/independent/tag.php on line 49

Derivatives and Leverage

In general, leverage (or gearing) can be defined as borrowing funds to make investments. In the context of derivatives trading,...

Premium

In the realm of options, it refers to the amount of money an option buyer pays to an option writer...

Passport Option

A call option on any portfolio composed of variable or uncertain components, such as an actively managed portfolio or the...

PNL Option

An option that allows its holder to lock in the profit of optimal trading on a specified asset subject to...

Closing Out an Option

An option contract is a derivative contract that grants its owner the right, without the obligation to buy (for a...

Asian Option

A path-dependent option in which the payoff is based on an average of underlying asset prices, interest rates, indices, or...

Unwinding a Swap

A process of terminating a swap by marking it to market and calculating its value in order to determine which...

Dynamic Credit Default Swap

A credit default swap (CDS) which links the notional amount, on which the swap payoff is based, to the daily...

Nth-To-Default Swap

A credit default swap (CDS) whereby the protection buyer makes a payment to the protection buyer only after the Nth...

Autocallable Coupon Accrual Swap

An OTC swap which features both a knockout and contingent coupon mechanism. The issuer receives the coupon, whilst the holder...