Tag Archives: Bond
Effective Duration
Effective Duration (Words <500)
The duration calculation for bonds that have embedded options is known as effective duration. It he...
Basis Point Value
Basis Point Value
Basis points represent a unit employed to measure interest rates and other financial percentages. A basis point equa...
Equity vs Fixed Income
Equity vs Fixed Income
If a person wants to generate income or appreciation in the future he acquires an asset known as investment. An...
Bond Tranches
Bond Tranches
Tranche is a French word meaning slice or portion. They are found in mortgage-backed securities (MBS) or asset-backed sec...
Barbell Strategy
Barbell Strategy
Options are a conditional derivative instrument that allows the buyer of the contract to buy or sell a security at a c...
Capital structure
Capital structure
What is Capital Structure?
Capital structure is basically a combination of debt and equity which is used by the c...
Dollar Duration (DV01)
Dollar Duration (DV01)
What is DV01 (Dollar Duration)?
A bond analysis method that helps an investor ascertain the sensitivity of t...
Euroclear System
Euroclear System
Euroclear System is a clearinghouse that settles and clears securities trades executed on European exchanges. It is on...
Zero Coupon Bond Vs Regular Coupon Bond
Zero-Coupon Bond Vs Regular Coupon Bond
Bonds having similar characteristics to the Fixed Deposit in saving banks account. Bonds are le...
How Are Bonds Rated?
How Are Bonds Rated?
Bond-rating represents the creditworthiness of government or corporate bonds. The ratings are given by credit rati...