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Open Contracts

Contracts, such as futures/ forwards, that have been purchased (long) or sold (short) while no transactions have been completed by...

Open Interest

The total number of one-side positions outstanding in options or future contracts. In other words, the total number of long...

Khiyar al-Istihqaq

A khiyar (option) which comes into effect if the buyer becomes entitled to the whole object of sale or part...

Counterparty Credit Risk

The risk that a counterparty to a derivative contract may be unable or unwilling to fulfill contractual obligations with respect...

Counterparty Risk

The potential loss that results from a counterparty to a derivative contract (specifically a forward contract or swap) unfulfilling its...

Khiyar al-Naqd

A special case of khiyar al-shart (condition option), which comes into effect if the parties to the contract of sale...

Spreadlock

A derivative contract that allows a market participant to enter into an interest rate swap (IRS) at a preset spread...

Spreadtion

An OTC option which is written on a spread. The spreadtion is usually used to lock in the difference between...

Spread Option

An OTC option which is written on a spread. The spread option is usually used to lock in the difference...

Khiyar al-Tadlis

A type of khiyar (Islamic option) which is given to the buyer so that if the seller has glossed over...