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Equity Derivative Product

An equity product (equity-linked product) that involves an embedded feature of a derivative. It is a product that has an...

Derivative Equity Security

An equity security that is embedded with certain derivative features such as exchangeability and convertibility into underlying equity, etc. Examples of...

IM

It stands for initial margin; the cash (broadly, monetary assets) which a futures trader has to deposit in a margin...

VM

It stands for variation margin; the extra money which is required to top off the balance in a margin account...

Commodity-for-Interest Swap

A swap (fixed-for-floating swap/ fixed-for-fixed swap) that entails payment of a return based on the commodity price against a payment...

Non-Centrally Cleared Derivative

A derivative that is not cleared through a central counterparty (CCP). Non-centrally cleared derivatives include interest rate, credit, commodity, FX...

Centrally Cleared Derivative

A derivative that requires the out-of-the-money counterparty (the counterparty holding the out-of-the-money position) to periodically transfer an amount of variation...

Cash Commodity

The physical or actual commodity, as differentiated from the futures contract in which such a commodity is used to be…

Gas-at-the-Pump Futures

A futures contract in which the underlying is the retail price of gasoline. The gas-at-the-pump futures is designed to track…

Equity Index Derivative

An index derivative whose performance is based on or tied to an underlying benchmark equity index. In other words, the...