|
Yield-based option
A type of debt-instrument-based option that derives its value from the difference between the exercise price and the value of the yield of the underlying debt instrument.
Yield-based options are settled in cash.
A yield-based call buyer expects interest rates to go up, while a yield-based put buyer expects interest rates to go down.
Financial terms alphabetically:
| #
| A
| B
| C
| D
| E
| F
| G
| H
| I
| J
| K
| L
| M
| N
| O
| P
| Q
| R
| S
| T
| U
| V
| W
| X
| Y
| Z
|