# smoothing

smoothing
Also called yield curve smoothing.
The name for a set of alternative techniques for creating continuous yield curves by connecting the dots between observed. If, for example, we have observed rates for 1, 2, 3, 5 and 10 year maturities, smoothing is the technique used to infer rates for all maturities between those known points. The known points are called " knot points".
The simplest smoothing technique is "linear smoothing". The most commonly used technique is "cubic splines". For forward rates, the most accurate method is called " maximum forward rate smoothing". American Banker Glossary

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• Smoothing — Smooth ing, a. & n. fr. {Smooth}, v. [1913 Webster] {Smoothing iron}, an iron instrument with a polished face, for smoothing clothes; a sadiron; a flatiron. {Smoothing plane}, a short, finely set plane, for smoothing and finishing work. [1913… …   The Collaborative International Dictionary of English

• Smoothing — ist ein Glättungsverfahren zum Ausgleichen von kurzfristigen Kursschwankungen bei spekulativen Kapitalanlagen. Bei guter Wertentwicklung wird nur ein Teil der Rendite ausgeschüttet und der Rest als Schwankungsreserve einbehalten. Diese wird in… …   Deutsch Wikipedia

• Smoothing — In statistics and image processing, to smooth a data set is to create an approximating function that attempts to capture important patterns in the data, while leaving out noise or other fine scale structures/rapid phenomena. Many different… …   Wikipedia

• Smoothing — Smooth Smooth, v. t. [imp. & p. p. {Smoothed} (sm[=oo]thd); p. pr. & vb. n. {Smoothing}.] [OE. smothen, smethen, AS. sm[=e][eth]ian; cf. LG. sm[ o]den. See {Smooth}, a.] To make smooth; to make even on the surface by any means; as, to smooth a… …   The Collaborative International Dictionary of English

• smoothing — smuËÃ° n. act of smoothing; part or place that is free from irregularities and roughness v. make smooth, make even, remove irregularities or roughness; remove difficulties; soothe, calm; refine; become smooth adj. level, even, not rough, flat;… …   English contemporary dictionary

• smoothing — glodinimas statusas T sritis automatika atitikmenys: angl. smoothing vok. Glättung, f rus. сглаживание, n pranc. lissage, m …   Automatikos terminų žodynas

• smoothing — glodinimas statusas T sritis informatika apibrėžtis Kontrastingų vaizdo kontūrų „suminkštinimas“ papildomais taškais, pustoniais ir spalvomis. Paveiksle pateikta padidinta raidė A prieš glodinant ir suglodinus. Iliustraciją žr. priede. priedas(… …   Enciklopedinis kompiuterijos žodynas

• Smoothing iron — Smoothing Smooth ing, a. & n. fr. {Smooth}, v. [1913 Webster] {Smoothing iron}, an iron instrument with a polished face, for smoothing clothes; a sadiron; a flatiron. {Smoothing plane}, a short, finely set plane, for smoothing and finishing work …   The Collaborative International Dictionary of English

• Smoothing plane — Smoothing Smooth ing, a. & n. fr. {Smooth}, v. [1913 Webster] {Smoothing iron}, an iron instrument with a polished face, for smoothing clothes; a sadiron; a flatiron. {Smoothing plane}, a short, finely set plane, for smoothing and finishing work …   The Collaborative International Dictionary of English

• Smoothing spline — The smoothing spline is a method of smoothing, or fitting a smooth curve to a set of noisy observations.DefinitionLet (x i,Y i); i=1,dots,n be a sequence of observations, modeled by the relation E(Y i) = mu(x i). The smoothing spline estimate… …   Wikipedia