Arquivos: Glossário

Norms and precepts that guide human judgment and action.

Value-at-risk is a statistical measure of the riskiness of financial entities or portfolios of assets. It is defined as the maximum dollar amount expected to be lost over a given time horizon, at a pre-defined confidence level. For example, if the 95% one-month VAR is $1 million, there is 95% confidence that over the next […]

A vanilla option is a simple call or put option with no special features or observation dates. It gives the holder a time-limited right, but not obligation, to buy or sell an instrument at a predetermined price, in exchange for a premium. The premium is based on a number of factors, including the volatility of […]

The gas given off by substances that are solids or liquids at ordinary atmospheric pressure and temperatures.

Vapor-phase migration of volatile organic compounds or volatile inorganic compounds into occupied buildings from underlying contaminated groundwater or soil.

See Value-at-risk.

An investment where unit prices of the output and the asset tend to rise at least as fast as the inflation rate (as opposed to a fixed-income investment).

A measure of the spread in possible values of a variable in a population. The greater the spread, the higher the variance. The variance of a population is the sum of squared deviations from the mean, and each squared deviation is weighted by its probability of occurrence. The variance in any variable value is also […]

A variance swap is an over-the-counter derivative that offers exposure to the future volatility of an underlying asset such as an interest rate or an equity index, without the investor taking directional exposure to that asset. Variance swaps give investors a payout equal to the difference between realised variance (the square of the standard deviation) […]

In derivatives markets, variation margin is one of two types of collateral required to protect parties to a contract in the event of default by the other counterparty. It provides for changes in the market value of the trade or a portfolio of trades. VM payments are usually made daily, in cash, from the party […]