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Xccy Swap

A currency swap in which one side is a fixed rate currency and the other a floating rate payment (such…

B2B

An abbreviation for business-to-business which indicates an offline or online marketing activity involving the exchange of products, services, or information…

Calendar Ratio Spread

An option trading strategy which involves buying a far-month call (put) option and selling more than one near-month call (put)…

Banker’s Acceptance

A money-market instrument which constitutes a time draft drawn on and accepted by a bank. A banker’s acceptance (BA) provides…

Synthetic Underlying

An option trading strategy which is similar to a conversion/ reversal but without involving the underlying leg. In its reversal…

Interest Rate Guarantee

An option on a forward rate agreement that gives the holder the right, without the obligation, to buy an FRA…

Synthetic Put Option

A synthetic option that is based on a short position in the underlying asset and a long position in a…

Security Futures

A legally binding contract between two parties to sell/ purchase, on future delivery terms, a specific quantity of shares of…

Shock Absorber

A short-term or temporary curb which is posed on the trading of particular stock index futures contracts in order to…

Special Expiration Price Option

An option that expires or pays off if the underlying hits or exceeds the outstrike price. For example, in the…