Derivatives Demystified A Step-by-Step Guide to Forwards, Futures, Swaps and Options phần 6 pps

... value that will be calculated. Standard deviation is a measure of dispersion from an average value and is widely used in many practical applications, not just in finance and business. As an example, ... Option Valuation Concepts 131 IMPLIED VOLATILITY The advantage of using historical volatility to price an option is that (normally) the sample data are readily available and the metho...

Ngày tải lên: 10/08/2014, 07:20

... are actually exchanged is called the value date. A spot deal is said by traders and other market participants to be ‘for value spot’. An outright forward foreign exchange deal is: a firm and binding ... $14.9 26 million Figure 2.7 Using an FX swap to manage cash flows CHAPTER SUMMARY A forward contract is an agreement between two parties to deliver a commodity or a financial...

Ngày tải lên: 10/08/2014, 07:20

... investor would sell or buy shares to maintain a constant allocation. OTHER APPLICATIONS OF EQUITY SWAPS Equity swaps are extremely versatile tools and have many applications for companies, banks and ... some organization such as a multinational corporation. Specifically, a credit default swap (CDS) is a form of insurance against default on a loan or a bond. There are two...

Ngày tải lên: 10/08/2014, 07:20

... the Japanese yen and the Swiss franc. All deals are made against the US dollar. There is a range of expiration dates and both European- and American-style contracts are traded. If a contract is ... contracts which allow investors to tailor certain terms of a contract. However, most exchange-traded options are standardized. There are a set number of strikes and expiry dates...

Ngày tải lên: 10/08/2014, 07:20

... $100 Maturity: 1 year Exchange ratio: Each bond is mandatorily exchangeable into one share at maturity. Coupon rate: 0% A mandatorily exchangeable (ME) might be issued by a company that has a cross-holding of ... if, rather than investing in the CB, an investor used the money to buy XYZ shares in the cash market at $5 each. MANDATORILY CONVERTIBLES AND EXCHANGEABLES A mandatorily...

Ngày tải lên: 10/08/2014, 07:20

... section as 6. 01% p .a. Table A. 4 assumes that the FRA is sold at 6. 01% p .a. , and the arbitrage profit disappears. FORWARD RATES AND INTEREST RATE SWAPS An interest rate swap (IRS) is an agreement ... bond Share 25 Figure 17.3 Capital gains/losses on a mandatorily exchangeable at maturity the bond for shares at maturity, using an exchange ratio formula that can produce a lower...

Ngày tải lên: 10/08/2014, 07:20

... on standard par interest rate swaps. Swap rate The fixed rate on an interest rate swap. Swaption An option to enter into an interest rate swap. A payer swaption is an option to pay fixed and receive ... into or exchanged for shares on or by a certain date. Margin call When a trader on a derivatives exchange receives a call to make an additional payment because of an advers...

Ngày tải lên: 10/08/2014, 07:20

... Northeast United States. For exa Vermont and West Virginia an amenable animal can be inspected and slaught Equivalent” state facility and the particular state. In Delaware, Ma inspection at a Talmadge-Aiken ... fr • Sire and Dam identifica • Immunizations, date and d • Parasite tests, da • Parasite treatment, date and dosage • Feed quantity and type • Injuries and illness...

Ngày tải lên: 21/02/2014, 01:20

... 26 CHAPTER 3: Saving as a group 29 Rotating Savings and Credit Association (ROSCA) 30 Accumulative Savings and Credit Association (ASCA) 38 Credit Union (Savings and Credit Cooperative) 48 Linking ... we launched a study to explore the socio-cultural factors influencing rural saving behaviour in Zambia. This was later expanded, with generous funding from the Netherlands in 1998...

Ngày tải lên: 22/03/2014, 21:20

... covering a variety of asset classes and geographical loca- tions. As indicated previously, these databases provide manager/ product data and typically have dozens of dynamic (searchable, sortable) ... professionals. It contains a variety of papers, articles, and other materials relating to invest- ment manager analysis across all asset classes, including: ■ Performance analysis ■...

Ngày tải lên: 08/05/2014, 10:12