Credit spread


 

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Credit spread

Applies to derivative products. Difference in the value of two options, when the value of the one sold exceeds the value of the one bought. One sells a "credit spread." Antithesis of a debit spread Related: Quality spread.

Credit spread

A spread strategy that increases the account's cash balance when it is established. A bull spread with puts and a bear spread with calls are examples of credit spreads.



Similar Matches

Credit averse

Credit averse

When a borrower has a poor credit history, has previously been declared bankrupt or has outstanding County Court Judgements, they are often described as credit averse. People with averse credit ratings often have to pay higher interest rates on a mortgage. 


Time Letter of Credit

Time Letter of Credit

See: Usance Letter of Credit.


Federal Intermediate Credit Bank

Federal Intermediate Credit Bank

A bank sponsored by the federal government to provide funds to institutions making loans to farmers.


Creditor

Creditor

An individual or institution to whom a debt is owed.


Consumer credit

Consumer credit

Credit a firm grants to consumers for the purchase of goods or services. Also called retail credit.


Further Suggestions

Sight Letter of Credit
Credit history
Credit insurance
Creditor
Export credit
Credit reference agency
Credit agencies
secured creditor
Revolving credit agreement
National Credit Union Administration
Credit enhancement
Bank Letter of Credit Policy
Line of credit
Credit history
Foreign Credit Insurance Association (FCIA)
Equity Line Of Credit
Commodity Credit Corporation
Credit risk
creditor days
Tax credit
Close end credit
Unconfirmed Letter of Credit
bank giro credit
Comparative credit analysis
credit insurance


 
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