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Banking

Euro Interbank Offered Rate

Or Euribor; an interest rate that is based on the average interest rates at which a panel of more than...

Nominal Rate of Interest

The growth rate of a unit of invested funds (dollars, euros, yen, etc) over a specific period of time. It…

Call Option Premium

The up-front price a call option buyer (long) pays to a call option seller (short) against the right to exercise…

Covered Arbitrage Differential

The interest rate differential that results from covered arbitrage between two rates denominated in different currencies. More specifically, the covered…

Accrued Market Discount

The increase in the value of a bond that results from buying the bond at a discount from face value (par…

CP Rate

The interest rate on commercial paper (CP) which represents are an unsecured, short-term debt instrument issued by a company or…

Static Spread

The spread that would be realized over the whole risk-free spot rate curve if a given risky security such as...

Zero Spread

The spread that would be realized over the whole risk-free spot rate curve if a given risky security such as...

Prime Lending Rate

The short-term interest rate that is charged by banks to their most creditworthy, financially sound customers, i.e. customers who have...

Interest Rate

The rate of return that a lender earns on loaned money, expressed as a percentage of the loaned money (or...