Derivatives

Witching Day

June 27, 2022
Finance

Premium Put Convertible

June 28, 2022

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It stands for weighted average rate option. An average rate option in which the weighting of a given periodical price or rate (daily, weekly, monthly, ..) is defined and agreed by the parties in their agreement. This option allows investors who are not certain of the price/ rate to capitalize, instead, on their knowledge of the timing and size of cash flows.

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