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Banking

Round-Trip Arbitrage

A type of arbitrage that involves attempting to profit from specific deviations from interest rate parity by entering into a...

Asset Warrant

A warrant that is issued by a third-party (i.e., neither a company on its own equity or debt nor holders...

Attached Warrant

A warrant that is attached to a straight debt instrument, giving the holder to the right (option) to exercise on...

Abandonment Value

The cash or cash-equivalent proceeds that can be realized by hurriedly liquidating an investment, like an asset or a host...

ARBN

It stands for absolute return barrier note; a barrier note that pays the holder (investor), at maturity, the absolute performance...

Arbitrage CDO

A securitized product (a type of collateralized debt obligations – CDOs) that originates obligations collateralized or backed by a pool...

Horizontal Risk

The risk that arises from inability of a hedger/ portfolio manager to hedge against a change in the shape of...

Yield Curve Risk

The risk that arises from inability of a hedger/ portfolio manager to hedge against a change in the shape of...

Curve Risk

The risk that arises from inability of a hedger/ portfolio manager to hedge against a change in the shape of...

Interest Rate Risk

Generally, it is the risk that arises from changes in interest rate which impact the value of interest-bearing securities/ investments...