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DECS

An acronym for debt exchange for common stock. It is a convertible security which constitutes a listed structured product issued…

Fixed Strike

With respect to an option's strike (strike price), it refers to the situation where the implied volatility (volatility skew) remains...

Sticky Strike Rule

A rule that assumes that the implied volatility for an option with a given strike price and maturity will not...

Flavored Currency Swap

Unlike a plain vanilla currency swap, a flavored currency swap is a more complicated structure that eases up specific standard…

Fixed-to-Floating Commodity Swap

A commodity swap in which one party makes a series of fixed payments and receives floating payments tied to a…

FLCDS

It stands for first-loss credit default swap; a credit default swap (CDS) that protects its buyer (the long) from losses…

Forward Commencement Swap

A swap which initiates at a forward start date. The fixed rate of the swap is agreed upon at the…

Fixed-Fixed Currency Swap

An interest rate swap in which both counterparties pay fixed rate in their respective currencies. It is a type of…

HV

It stands for historical volatility; a type of volatility that is estimated from past realized/ historical data rather than by...

Historical Volatility

A type of volatility that is estimated from past realized/ historical data rather than by employing current prices and a...