Blog Category: Financial Terms
Get definitions and guidance on all the terms you need to know within accountancy and finance.
Net Stable Funding Ratio
The net stable funding ratio is a liquidity requirement that requires banks to have sufficient stable funding to cove...
Convexity Formula
Convexity relates to the interaction between a bond's price and its yield as it experiences changes in interest rates.
American Options
American options are the options that give the holder of the Option the right to retire even before the maturity.
Optimal Hedge Ratio
Optimal hedge ratio defines the futures market position that will simultaneously minimize the risk absorbed in the ma...
ISDA Master Agreement
Derivative transactions are conducted worldwide with financial organizations and corporates involved from all around ...
Unit Root: A Comprehensive Guide
A unit root is a stochastic trend in a time series that is frequently referred to as a random walk with drift
Hedge Fund Strategies
Hedge fund strategies are a set of principles followed by a hedge fund to protect themselves against the movements of...
Forward Quotes
Forward quotes are used to represent and identify the future rates of the currency. These rates are used for currency...
Lease Rates
The lease rate is the periodic payment made by the lessee to the lessor for the use of an asset in a lease transactio...
Backwardation and Contango
In interest rates management, backwardation and contango are two critical phenomena that identify the direction of in...