A bond that pays interest only if the floating interest rate (such as LIBOR) or aninterest rate option underlying a…
A combination of long and short positions in financial instruments, in order to mimic the the risk/ reward profile of...
It stands for range accrual note; a note that pays interest only if the floating interest rate (such as LIBOR)...
A bond that contains an embedded option granting the holder the right to choose currencies for interest payment and principal...
An option which is added to another instrument as a right to exercise in relation to that instrument. However, embeddos,...
An option which is added to another instrument as a right to exercise in relation to that instrument. However, embedded...
The implied cost of an embedded option- i.e., an option embedded in a security. It is the difference between the...
An embedded option that is sold by a firm to derivatives dealers in order to realize cash out of it...
The expected yield to maturity (YTM) of a bond/ note that is adjusted for an embedded option (e.g., an issuer's...
It stands for option-adjusted spread; the credit spread that is added over the spot rates (the Treasury spot rate curve,...