Glossary – Finance
There are 12 names in this directory beginning with the letter A.
Accrual Swap
An Interest rate swap where interest on one side accrues only when a certain condition is met.
Accrued Interest
The interest earned on a bond since the last coupon payment date.
Amortizing Swap
A swap where the notional principal decreases in a predetermined way as time passes.
Arbitrageur
An individual engaging in arbitrage.
Asian Option
An option with a payoff dependent on the average price of the underlying asset during a specified period.
Ask Price
The price that a dealer is offering to sell an asset.
Asset-or-Nothing Call Option
An option that provides a payoff equal to the asset price if the asset price is above the strike price and zero otherwise.
Asset-or-Nothing Put Option
An option that provides a payoff equal to the asset price if the asset price is below the strike price and zero otherwise.
At-the-Money Option
An option in which the strike price equals the price of the underlying asset.
Average Price Call Option
An option giving a payoff equal to the greater of zero and the amount by which the average price of the asset exceeds the strike price.
Average Price Put Option
An option giving a payoff equal to the greater of zero and the amount by which the strike price exceeds the average price of the asset.
Average Strike Option
An option that provides a payoff dependent on the difference between the final asset price and the average asset price.