Finance

Range Floating-Rate Note

September 17, 2022
Finance

Reverse Floating-Rate Note

September 17, 2022

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A technique which is used to artificially establish an option-like payoff pattern by creating a set or series of trades or transactions in the underlying asset or in futures contracts on that underlying.

Option replication could also refer to a strategy of creating a long-term option out of a sequence of short-term options baskets/ portfolios.

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