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Abandonment

An action that is taken by an investor or trader whereby he/ she chooses not to exercise or offset a…

Arbitrage

A trading tactic in which an asset is bought at a low price on one market and then is immediately…

Average Rate Floor

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

Average Rate Call Option

An average rate option which gives the holder the right, but not the obligation, to buy the underlying asset, with…

Average Rate Put Option

An average rate option which gives the holder the right, but not the obligation, to sell the underlying asset, with…

Future Instantaneous Volatility

It reflects the magnitude of the instantaneous fluctuation of a dynamic process, e.g., the log of an underlying asset price/...

ATM Spot Implied Volatility

A measure of volatility (at-the-money volatility, ATM volatility) that is calculated by averaging the implied volatilities from a put and...

At-The-Money Spot Implied Volatility

A measure of volatility that is calculated by averaging the implied volatilities from a put and call options or sets...

Accumulator Leverage Forward

An options strategy that is based on two accumulator-in one-sided knock-out options on two different notionals and activation (knock-in) triggers.…

Airbag Swap

An interest rate swap (pay fixed, receive floating) whose notional value adjusts according to rising interest rates by linking the…