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CDD Option

A weather derivative (specifically a degree day option) that gives the holder the right, without the obligation, to trade (buy...

CDD

It stands for cooling degree days; a term that refers to the maximum of zero and the amount by which...

HDD Option

A weather derivative (specifically a degree day option) that gives the holder the right, without the obligation, to trade (buy...

HDD Swap

It stands for heating degree days swap; a degree day swap that combines a call and put option with the...

HDD

It stands for heating degree days, a term that refers to the maximum of zero or the amount by which...

Day Count

A convention which defines how interest accrues over time. It helps determine the interest earned between two dates which don’t...

Degree Day Swap

A weather derivative (originally introduced by US firm Enron Energy Corporation in 1997) that is used for hedging purposes, where...

Dollar Vega

The vega value of a derivative instrument, a spread, or a position multiplied by the notional principal. It corresponds to...

CMS Rate

The swap rate for a relevant maturity on the assumption of a generic structure for the underlying swap transaction. In...

Crack Option

An option that gives the holder the right to exchange a base asset (a crude commodity) for one or two...