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Conditional Option

A standard option in which the payoff is derived under a specific condition imposed by the model on its underlying…

Promissory FX

A financial instrument that contains an unconditional promise by one party to enter into a foreign exchange transaction with another…

Forward-Starting BDS

A forward contract which obliges the holder to buy or sell a basket default swap (BDS) at a specified time…

Farther-Out Option

An option contract that has a later expiration date than a contract that is presently being devised or considered. For…

Islamic ELN

A structured product/ instrument that is modeled on a conventional equity-linked note(ELN). The conventional one provides investors with a fixed…

FX Swap

The spontaneous purchase and sale of two identical amounts in two different currencies with two different value dates. Differently stated,…

Unclean Shell

A general term that may refer to either a dirty shell or a messy shell. Broadly speaking, unclean shells are…

Istisnaa Sukuk

Certificates of equal value (sukuk) that are issued for the purpose of mobilizing funds to be used in the production…

Fence

The purchase of one option and the sale of a different-type option with a different strike price. In other words,…

Contemporaneous Financing

A technique that is used in reverse mergers in fund raising. More specifically, an operating company combining with a shell…