Tag: swaps

What is 'Hara-Kiri Swap' An interest rate or cross-currency swap devoid of any profit margin for the originator. The term gets its...

Manual trading is a process where traders make all of their own investment decisions, without the help of any automated software. This can be...

What is 'Macroeconomic Swap' A type of derivative designed to help companies whose revenues are closely correlated with business cycles to reduce...

What is 'Rate Anticipation Swap' A type of swap in which bonds are exchanged according to their current duration and predicted interest...

What is 'Callable Swap' An exchange of cash flows in which one counterparty makes payments based on a fixed interest rate, the...

What is 'Call Swaption' A type of option between two parties that can be exercised on a swap where the buyer of...

What is 'Call On A Call' A type of compound option in which the investor has the right to exercise a call...

What is CDO (Collateralized Debt Obligation)? Collateralized Debt Obligation or CDO is a financial product that brings together assets that can generate cash flow...

What is 'Quanto Swap' A swap with varying combinations of interest rate, currency and equity swap features, where payments are based on...

What is 'Quality Spread Differential - QSD' The term 'quality spread differential', or QSD, refers to the difference between the price of a low-quality commodity...