Filter by Categories
Accounting
Banking

Positive Carry

A situation that arises when the cost of financing a financial instrument or a physical asset, such as short-term rate...

Vanilla Total Return Swap

The most basic version of a total return swap (TRS). By definition, it is a type of credit derivative in...

Cap and Floor

An option-based strategy that is designed to establish a costless position and secure a return. It is a type of...

Net Financing Cost

The difference between the financing cost of an asset/ investment (e.g., a security) and its cash yield. In other words,...

Cost of Carry

The difference between the financing cost of an asset/ investment (e.g., a security) and its cash yield. In other words,...

Carry

The difference between the financing cost of an asset/ investment (e.g., a security) and its cash yield. In other words,...

Positive Carry

A carry (net financing cost) in which the profit (current yield) earned from a funded asset/ investment (e.g., a security)...