Financial ratios

Net interest spread

Net interest spread refers to the difference in borrowing and lending rates of financial institutions (such as banks) in nominal terms. It is considered analogous to the gross margin of non-financial companies. Net interest spread is expressed as interest yield on earning assets (any asset, such as a loan, that generates interest income) minus interest rates paid on borrowed funds. Net interest spread is similar to net interest margin; net interest spread expresses the nominal average difference between borrowing and lending rates, without compensating for the fact that the amount of earning assets and borrowed funds may be different. (Wikipedia).

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Net excess spread in a securitization

The net excess spread is a type of internal credit enhancement in a securitization. In this simple structure, $100 million in loan assets are securitized by way of two bond class issuances (senior and subordinated debt). The excess spread can be diverted on a post or pre-loss basis (pre-lo

From playlist Credit Risk: Securitization

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Credit Spread Options (Put & Call)

A credit spread option is a hedge/bet on the narrowing or widening of a credit spread (credit spread = risky yield - riskless yield). The credit spread put payoff = duration x notional x MAX [Credit Spread - Strike Spread, 0]. The Credit spread call payoff = duration x notional x MAX [Stri

From playlist Derivatives: Credit Derivatives

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Ex: Given the Interest, Find the Amount of Money in Two Accounts Earning Different Interest

This video explains how to determine the amount of money in different accounts earning different simple interest given the total interest earned. Complete Video Library: http://www.mathispower4u.com Search Videos: http://www.mathispower4u.wordpress.com

From playlist Applications:  Solving Linear Equations in Two Variables 

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What is a Butterfly Spread?

What is a Butterfly Spread? - Options Trading Strategies Explained These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/ Follow Patrick on twitter here:

From playlist Class 2: An Introduction to Options

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Determine the final value for Compound interest problems

Learn about compound interest. We will look at how to determine the final value, initial value, interest rate and years needed. We will investigate problems compounded continuously, daily, weekly, monthly, quarterly and yearly. These changes will impact our problems as well as the time we

From playlist Compound Interest

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Effective Interest Rate (Effective Yield)

This video shows how to derive the effective interest rate formula for compounded and continuous interest. It also provides two examples on how to calculate effective interest rate. Site: http://mathispower4u.com Search: http://mathispower4u.wordpress.com

From playlist Finance: Simple and Compounded Interest

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Ex: Compare Simple Interest and Annual Compounded Interest

This video uses the graphing calculator to calculator several function values for a simple interest account and a compounded annual interest account.

From playlist Solving Applications of Exponential Growth and Decay

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Vertical option spread trades: bull spread and bear spread (FRM T3-38)

[my xls is here https://trtl.bz/2NKCh3H] A vertical spread trade takes a position in two or more options of the same type (i.e., two or more calls, or two or more puts). Both the bull and bear spread are capped on the upside. The BULL SPREAD buys a call with a lower strike price partially

From playlist Financial Markets and Products: Option Trading Strategies (FRM Topic 3, Hull Ch 10-12)

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24C3: VX (The Virus Underground)

Speaker: SkyOut The listeners will be introduced in the world of virus coding. They will understand how this can be seen as a way of expressing yourself and why it is a way of hacking. Furthermore they will get to know, which important groups, authors and viruses have been there in the l

From playlist 24C3: Full steam ahead

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Comparative advantage in an interest rate swap (FRM T3-31)

[my xls is here https://trtl.bz/2DceGc6] AAACorp has a comparative advantage in fixed-rate markets, but BBBCorp has a comparative advantage in floating-rate markets (even as it pays more everwhere!). The difference in spreads (in this case, the difference is 0.50% = 1.20% - 0.70%) is the g

From playlist Financial Markets and Products: Intro to Derivatives (FRM Topic 3, Hull Ch 1-7)

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Mod-07 Lec-18 Financial Statements Analysis - Dabur India Case

Managerial Accounting by Dr. Varadraj Bapat,Department of Management,IIT Bombay.For more details on NPTEL visit http://nptel.ac.in

From playlist IIT Bombay: Managerial Accounting | CosmoLearning.org Accounting

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FRM: Credit default swap (CDS) basis trade

The CDS basis trade exploits a difference between the cash and synthetic markets. For more financial risk videos, visit our website! http://www.bionicturtle.com

From playlist Derivatives: Credit Derivatives

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Modifying Mosquitoes with CRISPR - AMNH SciCafe

CRISPR gene editing is widely used by biologists as the DNA programming tool of choice to alter the genome of organisms and even populations. By modifying the DNA of mosquitoes, we could prevent them from reproducing—potentially eradicating them completely. But is that something we should

From playlist Technology of the Future

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Infinite money hack: Euler’s number and compound interest

Compound interest is a powerful concept that allows individuals to grow their wealth over time. It's based on the idea that the interest earned on an investment can be reinvested to generate even more interest, creating a "snowball" effect that can lead to significant growth. Subscribe: h

From playlist polymathematic #shorts

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Divergence of vector fields

Download the free PDF http://tinyurl.com/EngMathYT A basic lecture discussing the divergence of a vector field. I show how to calculate the divergence and present some geometric explanation of what the divergence represents. Several examples are discussed. Such ideas have important appl

From playlist Engineering Mathematics

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Advanced Agent Based Model by Bill Rand

Program Summer Research Program on Dynamics of Complex Systems ORGANIZERS: Amit Apte, Soumitro Banerjee, Pranay Goel, Partha Guha, Neelima Gupte, Govindan Rangarajan and Somdatta Sinha DATE : 15 May 2019 to 12 July 2019 VENUE : Madhava hall for Summer School & Ramanujan hall f

From playlist Summer Research Program On Dynamics Of Complex Systems 2019

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What is the divergence?

Free ebook http://tinyurl.com/EngMathYT A basic introduction to the divergence of a vector field - one of the basic operations of vector calculus. I discuss how to calculate the divergence and its physical connection with flux density. Plenty of examples are discussed.

From playlist Engineering Mathematics

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Simple Interest GCSE 9-1 Maths

Calculating simple interest for GCSE 9-1 maths!

From playlist Percentage Increase and Decrease

Related pages

Gross margin | Interest rate | Net interest margin