<

Bank Dictionary

dhan-blog.png
23Nov, 23

Overnight Index Swap (OIS) - Meaning

An Interest Rate Swap in which a fixed rate leg is exchanged for cash flows based on a published overnight interest rate. The overnight rate is usuall...

dhan-blog.png
23Nov, 23

Pip - Meaning

The smallest price unit of a commodity or currency. This is an acronym for Percentage Point....

dhan-blog.png
23Nov, 23

Placement - Meaning

A bank depositing Eurodollars with (selling Eurodollars to) another bank is often said to be making a placement....

dhan-blog.png
23Nov, 23

Pledge - Meaning

If someone pledges goods, they let a second person take possession of the goods, but the person pledging the goods still owns them. It is often done a...

dhan-blog.png
23Nov, 23

Portfolio opportunity set - Meaning

The expected return/standard deviation pairs of all portfolios that can be constructed from a given set of assets....

dhan-blog.png
23Nov, 23

Portfolio swap - Meaning

A total return swap that is covered under a portfolio swap agreement between two parties. This arrangement enables high volume trading without requiri...

dhan-blog.png
23Nov, 23

Potential Future Exposure (PFE) - Meaning

A measurement of counterparty credit exposure that calculates the maximum amount of exposure which can occur at a future point in time with a high deg...

dhan-blog.png
23Nov, 23

Preceding Business Day Convention - Meaning

A type of Business Day Convention where payment days that fall on a bad Business Day roll back to the preceding good Business Day....

dhan-blog.png
23Nov, 23

Primary Economic Terms (PET) - Meaning

Primary/core economic terms of an OTC derivative transaction....

dhan-blog.png
23Nov, 23

Projected benefit obligation (PBO) - Meaning

A measure of a pension plan's liability at the calculation date assuming that the plan is ongoing and will not terminate in the foreseeable future. Re...