A swaption with predefined limitations on exercise.The buyer of a swaption has the right to enter into an interest rate swap agreement by some specified date in the future. The swaption agreement will specify whether the buyer of the swaption will be a fixed-rate receiver or a fixed-rate payer. The writer of the swaption becomes the counterparty to the swap if the buyer … [Read more...]
Bilateral Netting: Explained
What is Bilateral Netting? Bilateral netting is a legally enforceable arrangement between a bank and a counterparty that creates a single legal obligation covering all included individual contracts.The process of consolidating swap agreements between two parties into a single agreement. This means that a bank’s obligation, in the event of the default or insolvency of one of … [Read more...]
Dangers of naked puts
What a naked put option is? A put option gives the buyer the right to sell a given stock at a given price on or before a given date. It also gives the seller the obligation to buy the stock at the given price on or before the given date.Naked puts can be extremely dangerous strategies that can make one lose all of their money in the market in a very short time. However … [Read more...]
Tips for Selling Your Timeshare
Selling your timeshare by -yourself is not an easy task. But if you do have the skills, then why not. But things won't be the same if you do it yourself. There are several factors that needed to be considered in selling timeshares. Or else, you may refer to an expert realtor to do it for you and just give him what's due to make things simpler. There are few things in life that … [Read more...]
How to Learn to Be a Successful Stock, Forex , Futures Trader With a Solid Trading Plan
How to Learn to Be a Successful Stock, Forex , Futures Trader With a Solid Trading Plan to Learn to trade the investment markets you need to have proper skill and knowledge. The successful traders have learned how to trade and cut their trading losses. Here are some ideas on how to learn to trade the stock, futures, forex market You need to learn from the basics. You need to … [Read more...]