A tranche (specifically, a CMO tranche) that is designed to protect investors from prepayment risk. To that end, it absorbs...

In relation to bonds, forward rate denotes the future yield on a bond (e.g., T-bond, T-note or T-bill). Simply put,...

The process that involves restoring a bond portfolio to its former position before the original swap. This may usually take...

A debt instrument (such as a bond, note, etc) in which the coupon rate depends on some multiple of the...

A mortgage debt instrument that features long-term coupons but with short maturity. Typically, super sinkers are housing bonds (single-family housing...

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

For a convertible bond, it is the excess of running (current) yield over equity dividend yield: Convertible yield advantage =...

The difference in yield to maturity (YTM) between two bonds (bond issues) or two classes of bonds with similar maturities....

The quotient of two bond yields, i.e., the ratio of the yield on some bond to the yield on a...

A graph that plots the relationship between yield to maturity (YTM) and maturity for a set of similar bonds (or...