It stands for forward-starting CDO; a single-tranche CDO (an exotic CDO product) with a premium starting at a pre-specified time...

A term repo transaction in which the repo rate is fixed, while the lender of cash has the right to...

Broadly speaking, it is the use of leverage in the structure of an investment. It is a structural component of...

An equity structured product (and a reverse convertible) that provides participation leverage (gearing) with no guarantees as to potential downside...

The index of US government bonds with a 3-year maturity (3-year bonds/ notes or in general 3-year treasuries). It measures...

The index of US government bonds with a 10-year maturity (10-year bonds or in general 10-year treasuries). It measures the...

The yield spread between the yields offered in two sectors of the bond market with the same maturity. A prime...

The weighted average cost of capital (WACC) or the average rate of return that is required by all of a...

A tranche (specifically, a CMO tranche) that is designed to protect investors from prepayment risk. To that end, it absorbs...

The running yield on a convertible is similar to the dividend yield on a share of stock. It is calculated...