Haircut is the difference between the market value of a security and its value when used as collateral. The haircut is intended to protect a collateral taker from losses due to declines in collateral values
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- Eurocredit market
Eurocredit market refers to the collection of banks that accept deposits and provide loans in large denominations and in a variety of ...
A hedge is a transaction, which lowers risk. There are number of ways to design hedges for minimizing risk in banking corporations.
- Wholesale Bank
Bank that provides services to large corporation is called wholesale bank, and the function of these banks is called whole sale banking.
- Syndicated Eurocredit loans
Syndicated Eurocredit loans— loans provided by a group (or syndicate) of banks in the Eurocredit market.
- Interest parity condition
Interest parity condition is the observation that the domestic interest rate equals the foreign interest rate plus the expected appreciation in the foreign currency.
- Range forward
Range forward refers to a complex option position which combines the purchase of a put option and the sale of a call option with strike prices equidistant ...
- Employers liability insurance
Employers liability insurance covers employers against lawsuits by employees who are injured in the course of employment, but whose injuries (or disease) are not compensable under the state’s worker’s