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Breakeven Coupon

The breakeven coupon on a swap is the coupon that gives the swap a zero value. For example, in a...

Breakeven Asset Swap Spread

The value of an asset swap spread which makes the net present value of all of the cash flows generated...

Breakeven Inflation Swap

An inflation-indexed swap which has both cash flow legs paying out at maturity. This swap is based on an exchange...

Exotic Barrier Option

A barrier option whose barrier has non-standard (exotic) features. Examples of exotic barrier options include: digital barrier options, step barrier...

Exotic Option

A category of options which trade over the counter and have unusual features including complicated components and complex payoffs. They...

Derivative Contract

A financial contract whose proceeds, characteristics and value depend on (and so are derived from) the proceeds, characteristics and value...

Derivative

A financial instrument whose performance, characteristics and value depend on (and so are derived from) the performance, characteristics and value...

Forward Rate

The rate at which a seller is willing to exchange an asset (a commodity, a currency, etc.) at a specified...

Long Wrangle

A wrangle, i.e., a complex ratio spread in which a long position is taken in the two ratio backspreads in...

Power Reverse Dual Currency Swap

An exotic cross-currency swap whose maturity is typically long-dated, up to 30 years, while its coupons are options on the...