Archive for the 'Economics' Category

Omnibus Account

Wednesday, October 4th, 2006

Omnibus Account — an account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined in this type of account, allowing for easier management by the futures merchant… @

Butterfly-shift

Wednesday, October 4th, 2006

A Butterfly Shift is a non-parallel yield curve shift in which short- and long-term rates shift upward by a greater magnitude than medium term rates. This yield curve shift effectively humps the curve, adding to its curvature… @

Fixed-income Instruments

Wednesday, October 4th, 2006

An investment that provides a return in the form of fixed periodic payments and eventual return of principal at maturity. Unlike a variable-income security, where payments change based on some underlying measure such as short-term interest rates, the payments of a fixed-income security are known in advance… @