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FL

It stands for floating rate tranche; a CMO tranche (or a tranche in a similar structure) in which the monthly...

FL Tranche

It stands for floating rate tranche; a CMO tranche (or a tranche in a similar structure) in which the monthly...

Tranche-Only CDO

A synthetic structure that consists of a single tranche. It is simpler than a standard synthetic tranche and can be…

Excess Interest

In relation to tranches of collateralized debt obligations (CMOs) and similar structures, it denotes the amount of interest defined by...

Tranche Coupon

The coupon (interest) that a tranche carries as compensation for its holder (investor) commensurate to the risk profile of the...

Fed Tapering

An action whereby the U.S. Federal Reserve (the Fed) cuts back- or taper- its bond purchases. Usually, the Fed buys…

Fire Sale

In general, it is the sale of goods or assets at tremendously lower or reduced prices to ensure a quick…

Non-Sticky Toggle Tranche

A type of toggle tranche that maintains its priority only for a temporary interval defined by the span of time...

Fidelity Bond

An insurance instrument that protects against losses caused by employees due to dishonesty, forgery or unauthorized trading. A fidelity bond…

Sticky Toggle Tranche

A type of toggle tranche that maintains its changed repayment priority until full retirement. Being a toggle tranche, it may...