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Banking

Reinvestment Risk

In relation to bonds, it is the risk (a type of interest rate risk) that the reinvestment rate will drop...

Static Spread

The basis points which are added to the yield at each point on the spot treasury rate curve marking the...

USGG3YR

The index of US government bonds with a 3-year maturity (3-year bonds/ notes or in general 3-year treasuries). It measures...

Running Yield

The running yield on a convertible is similar to the dividend yield on a share of stock. It is calculated...

Current Yield of a Bond

The actual return a bondholder will receive on the bond, based on its current market price. It is given by:...

Current Yield

The current yield on a convertible is similar to the dividend yield on a share of stock. It is calculated...

YEN

It stands for yield enhanced note; a type of mandatory convertible preferred which is typically issued at a zero premium...

Yield To The Immediate Point

The yield which is calculated using the point at which half of the bonds (known as sinking fund bonds) in...

Yield Pick-Up Swap

A bond swap that involves swapping a relatively high-price bond with a relatively low-price bond (otherwise, the two bonds are...

EBY

The yield on a discount bond that is computed in the same way the yield on a coupon bond is...