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Derivative security (Site not responding. Last check: 2007-10-31) |
 | | Derivative: A financial contract whose value is derived from the performance of assets, interest rates, Currency exchange rates, or indexes. |
 | | This represents the maximum losses a bank could incur if all its counterparties default and there is no Netting of contracts, and the bank holds no counterparty collateral. |
 | | High-Risk Mortgage Securities: Securities where the price or expected average life is highly sensitive to interest rate changes, as determined by the FFIEC policy statement on high-risk Mortgage securities. |
| derivative-security.iqnaut.net (1576 words) |