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Interest Rate Cap

An OTC interest rate derivative, or simply a contract on an interest rate whereby the seller (or the writer) pays...

Mulligan Cap

An interest rate cap in which the number of caplets are less than reset periods. This feature makes a flexible...

Flexible Cap

An interest rate cap in which the number of caplets are less than reset periods. This feature makes a flexible...

Capped Floater

A floater (FRN) in which coupon rates (coupon reset rates) are subject to an upper limit. Like standard floaters, capped...

Interest Rate Derivative

A financial instrument (a derivative) whose value is based on the performance of an underlying interest rate. It gives the...

Interest Rate Caplet

An interest rate derivative (specifically, an interest rate option) which allows the holder to receive an interest rate payment during...

Moving Average Cap

An interest rate cap whose payout (payoff) is calculated using a moving average interest rate within a specified interval. The...

Mortgage Prepayment Floor

An OTC option (floor) that provides the holder, usually a mortgage company, with protection from a potential loss in return...

Mortgage Prepayment Cap

An OTC option (interest rate cap) that provides the holder, usually a mortgage company, with protection from a potential loss...

Participating Interest Rate Agreement (PIRA)

An interest rate collar that allows an investor or borrower to mitigate or limit exposure to unfavorable interest rate changes...