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Moving Strike Convertible Bond

In Japan, it is a convertible bond in which the conversion price is not predetermined but is kept floating (i.e.,...

Deferred-Coupon Bond

A bond whereby the issuer is allowed to defer coupon interest for a specified period of time. During the deferred-coupon...

Deferred-Interest Bond

A special type of deferred-coupon bond in which coupon interest is deferred for a specified period in the future. Typically,...

Deferred Callable Bond

A callable bond which is subject to a call-protection period. A deferred callable bond can be recalled (repurchased) by the...

Coupon Bond

A bond that pays interest on surrender of the coupons, clipped from its certificate. The holder of a coupon bond...

Coupon Equivalent Yield

The rate of return which is quoted on bonds on the basis of simple interest, i.e., without accounting for the...

Non-Inversion Note

A note or bond whose coupons are based on the difference between two floating-rate indexes. Typically, these notes or bonds...

Bond Duration

A tool that measures the average length of time the holder of a bond has to wait before receiving cash...

Natural Hedge

A hedge that involves offsetting an exposure to a risk factor, wholly or partially, by an opposite exposure to that...

Neptune Protected Note

A variant of the Altiplano protected note which provides a series of annual worst-of knock-out coupons, rather than one at...