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Index Derivative

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

Index Option

An option whose underlying is a financial index, i.e., the entire performance of a specific index. This option gives the...

Lookback Price Option

An alternative term for a lookback rate option; a lookback option whose payoff (and performance), at expiration (for a European...

Lookback Rate Option

A lookback option whose payoff (and performance), at expiration (for a European version) or over its lifetime (for an American...

Floating-Strike Lookback Option

An option (specifically, a lookback option) that gives the holder the right to buy or sell the underlying asset at...

Lookback Rate Put

A lookback option whose payoff (and performance), at expiration (for a European version) or over its lifetime (for an American...

Foreign Exchange Option

An option that gives the holder the right, without the obligation, to exchange a specific amount of money denominated in...

Lookback Rate Call

A lookback option whose payoff (and performance), at expiration (for a European version) or over its lifetime (for an American...

Extendable Bond

A long-term debt security which has an embedded option to extend its maturity beyond the original maturity date. The bond…

Payout

The value of an option at expiration date, i.e., the value which is received by a holder from exercising an…