Also known as minimum variance hedge ratio (MVHR); a mathematical tool for determination of the optimal cross hedging ratio. This...

It stands for forward rate agreement which is an over-the-counter agreement to apply a certain interest rate to either lending...

A second-order greek that measures the instantaneous rate of change of an option’s delta with respect to the passage of...

A floor is a put option on a specified interest rate such as LIBOR, Euribor, the US prime rate, or...

An option whose underlying is a forward contract. This option gives the holder the right to enter into a forward...

The reverse of an accumulator. More specifically, it is a structured product that involves investors taking on the obligation to...

A swap which is basically created to offset or counter the interest rate or market risk of an earlier swap...

A path-dependent option that is typically embedded in a structured note (range note), allowing the holder to receive a coupon...

A currency option- usually on a foreign currency or a currency basket or index- that is made or written at...

A discrete model for pricing options that was introduced by Cox, Ross and Rubinstein in 1979. In this model, the...