Finance

Tag: PA

  • Par Value

    Concept of Par Value in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The principal amount of a bond. Also known as the face value.ResourcesSee AlsoDerivatives Contract

  • Payment Cap

    Payment Cap in the Context of Mortgage RefinancingsIn this context, a definition of Payment Cap may be distilled, worded as follows: A limit on the amount that your monthly mortgage payment on a loan may change, usually a percentage of the loan. The limit can be applied each time the payment […]

  • Path Dependent

    Concept of Path Dependent in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): When the payout of a swap is determined by the path taken (rise or fall) of the underlying rate.ResourcesSee AlsoDerivatives Contract

  • Par

    Concept of Par in Futures TradingIn this context of financial law, the following are some alternative definitions of Par: (a) Refers to the standard delivery point(s) and/or quality of a commodity that is deliverable on a futures contract at contract price. Serves as a benchmark upon which to […]

  • Path Dependent Option

    Concept of Path Dependent Option in Futures TradingIn this context of financial law, the following is a definition of Path Dependent Option: An option whose valuation and payoff depends on the realized price path of the underlying asset, such as an Asian option or a Lookback option.

  • Payer

    Concept of Payer in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): A credit swaption which allows the option buyer the right to buy protection on a certain date at a certain price.ResourcesSee AlsoDerivatives Contract

  • Partial Termination

    Concept of Partial Termination in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): A reduction in the notional amount of a derivative (i.e. an instrument that transfers risk from one party to the other) contract.ResourcesSee AlsoDerivatives […]

  • Partial Cash Settlement

    Concept of Partial Cash Settlement in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): The cash amount paid by a buyer to a seller when a buyer of protection is unable to deliver all of the deliverable obligations. The cash value is determined […]

  • Paper Profit

    Concept of Paper Profit or Loss in Futures TradingIn this context of financial law, the following is a definition of Paper Profit or Loss: The profit or loss that would be realized if open contracts were liquidated as of a certain time or at a certain price.

  • Payrec

    Concept of Payrec in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): A payment matching and netting service provided by DTCC Deriv/SERV for OTC (over the counter) derivative (i.e. an instrument that transfers risk from one party to the other) […]