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Step-Up Callable Note

A callable note (and a type of callable instruments) whose coupon rate is increased (i.e., “stepped up”) at specific points...

Redeemable Bond

A bond that contains a provision giving the issuer the right to buy back (call/ redeem) the bond at a predetermined...

Callable Bond

A bond that contains a provision giving the issuer the right to buy back (call) the bond at a predetermined price (call...

Callable Fixed-Rate Note

A callable note that pays a fixed rate coupon for its entire tenor. It allows the issuer to early terminate (premature or early termination)...

Delta-1 Product

A financial product (derivative) that tracks the performance of an underlying asset on a one-to-one basis. In other words, if...

Omicron

With respect to a convertible bond, it is the change in the bond price resulted from a single basis point increase in the...

DRC

In connection with convertibles, it stands for discount reverse convertible; a reverse convertible which consists of a zero-coupon bond (discount bond) and a...

Discount Reverse Convertible

A reverse convertible which consists of a zero-coupon bond (discount bond) and a plain vanilla put option. The investor issues the put option (short put)...

Credit DV01

With respect to a convertible bond, it is the change in the bond price resulted from a single basis point increase in the credit spread. In...

Reset Bond

A bond which is typically issued with a special provision allowing the initial interest to be reset on specified dates so...