Finance

Month: January 2016

  • Annual Membership Or Maintenance Fee

    Annual Membership or Maintenance Fee in relation to Home Equity Lines of CreditIn this context, a definition of Annual Membership or Maintenance Fee is provided: An annual charge for access to a ? nancial product such as a line of credit, credit card, or account. The fee is charged regardless […]

  • Isda

    ResourcesSee AlsoInternational Swaps and Derivatives Association Futures Trading Consumer Protection Consumer Finance

  • Put

    Concept of Put in Futures TradingIn this context of financial law, the following is a definition of Put: An option contract that gives the holder the right but not the obligation to sell a specified quantity of a particular commodity, security, or other asset or to enter into a short futures […]

  • Assignment

    Concept of Assignment in Futures TradingIn this context of financial law, the following is a definition of Assignment: Designation by a clearing organization of an option writer who will be required to buy (in the case of a put) or sell (in the case of a call) the underlying futures contract or […]

  • Gold Record

    Concept of Gold Record in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The representation of a derivative (i.e. an instrument that transfers risk from one party to the other) contract with full legal status between two parties within the […]

  • Delta Neutral

    Concept of Delta Neutral in Futures TradingIn this context of financial law, the following is a definition of Delta Neutral: Refers to a position involving options with a value that is independent of the value of the underlying instrument, i.e. that is designed to have an overall delta of zero.

  • CTA

    ResourcesSee AlsoCommodity Trading Advisor Futures Trading Consumer Protection Consumer Finance

  • Indirect Bucketing

    Concept of Indirect Bucketing in Futures TradingIn this context of financial law, the following is a definition of Indirect Bucketing: Also referred to as indirect trading against. It occurs when a floor broker effectively trades opposite his customer in a pair of non-competitive transactions […]

  • Life of Contract

    Concept of Life of Contract in Futures TradingIn this context of financial law, the following is a definition of Life of Contract: Period between the beginning of trading in a particular futures contract and the expiration of trading. In some cases, this phrase denotes the period already passed […]

  • Zero Coupon

    Concept of Zero Coupon in Futures TradingIn this context of financial law, the following is a definition of Zero Coupon: Refers to a debt instrument that does not make coupon payments, but, rather, is issued at a discount to par and redeemed at par at maturity.

  • Floating Rate

    Concept of Floating Rate in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): An interest rate which is reset at predetermined intervals by reference to a market reference rate (such as LIBOR).ResourcesSee AlsoDerivatives Contract

  • Loss Tranche

    Equity/first Loss TrancheConcept of Equity/first Loss Tranche in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The first loss and riskiest tranche in a CDO where there is no subordination. For example, a tranche with a 0% – 4% […]

  • Zero Coupon Swap

    Concept of Zero Coupon swap in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): A swap (i.e. a derivative where two counterparties exchange streams of cashflows with each other) where one counterparty pays a floating rate (for example three […]

  • Dutch Auction

    Concept of Dutch Auction in Futures TradingIn this context of financial law, the following is a definition of Dutch Auction: An auction of a debt instrument (such as a Treasury note) in which all successful bidders receive the same yield (the lowest yield that results in the sale of the entire […]

  • Euro

    Concept of Euro in Futures TradingIn this context of financial law, the following is a definition of Euro: The official currency of most members of the European Union.