Financial and business terms. 2012.
Theoretical spot rate curve — A curve derived from theoretical considerations as applied to the yields of actually traded Treasury debt securities because there are no zero coupon Treasury debt issues with a maturity greater than one year. Like the yield curve, this is a… … Financial and business terms
Par Yield Curve — A graph of the yields on hypothetical Treasury securities with prices at par. On the par yield curve, the coupon rate will equal the yield to maturity of the security, which is why the Treasury bond will trade at par. Deriving a par yield curve… … Investment dictionary
Theoretical ecology — Mathematical models developed in theoretical ecology predict complex food webs are less stable than simple webs.[1]:75–77[2]:64 … Wikipedia
Heart rate — is the number of heartbeats per unit of time, typically expressed as beats per minute (bpm). Heart rate can vary as the body s need to absorb oxygen and excrete carbon dioxide changes, such as during exercise or sleep. The measurement of heart… … Wikipedia
bootstrapping — For financial risk mangers, bootstrapping means (1) the procedure where coupon bonds are used to generate the set of zero coupon bond prices, or (2) the use of historical returns to create an empirical probability distribution for returns.… … Financial and business terms
Bootstrapping — A process of creating a theoretical spot rate curve , using one yield projection as the basis for the yield of the next maturity. The New York Times Financial Glossary * * * bootstrapping boot‧strap‧ping [ˈbuːtˌstræpɪŋ] noun [uncountable] 1. the… … Financial and business terms
OAS — option adjusted spread (OAS) (1) A measurement of the return provided to an investor from a financial instrument that is either an option or that includes an option. The option adjusted spread calculations break up a security into separate cash… … Financial and business terms
option-adjusted spread — ( OAS) (1) A measurement of the return provided to an investor from a financial instrument that is either an option or that includes an option. The option adjusted spread calculations break up a security into separate cash flows. Each of those… … Financial and business terms
Option-adjusted spread (OAS) — (1) The spread over an issuer s spot rate curve, developed as a measure of the yield spread that can be used to convert dollar differences between theoretical value and market price. (2) The cost of the implied call embedded in a MBS, defined as… … Financial and business terms
Bootstrapping (finance) — Bootstrapping is a method for constructing a (zero coupon) fixed income yield curve from the prices of a set of coupon bearing products by forward substitution.Using these zero coupon products we can derive par swap rates (forward and spot) for… … Wikipedia
