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Zero-Coupon Inflation-Indexed Swap

Index Zero-Coupon Inflation-Indexed Swap

The Zero-Coupon Inflation Swap (ZCIS) is a standard derivative product which payoff depends on the Inflation rate realized over a given period of time. [1]

7 relations: Consumer price index, Inflation, Inflation derivative, Maturity (finance), Swap (finance), Underlying, Year-on-Year Inflation-Indexed Swap.

Consumer price index

A consumer price index (CPI) measures changes in the price level of of and purchased by households.

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Inflation

In economics, inflation is a sustained increase in price level of goods and services in an economy over a period of time.

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Inflation derivative

In finance, inflation derivative (or inflation-indexed derivatives) refers to an over-the-counter and exchange-traded derivative that is used to transfer inflation risk from one counterparty to another.

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Maturity (finance)

In finance, maturity or maturity date refers to the final payment date of a loan or other financial instrument, at which point the principal (and all remaining interest) is due to be paid.

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Swap (finance)

A swap is a derivative contract where two parties exchange financial instruments.

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Underlying

In finance, the underlying of a derivative is an asset, basket of assets, index, or even another derivative, such that the cash flows of the (former) derivative depend on the value of this underlying.

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Year-on-Year Inflation-Indexed Swap

The Year-on-Year Inflation-Indexed Swap (YYIIS) ia a standard derivative product over Inflation rate.

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Redirects here:

ZCIIS, ZCIS, Zero-Coupon Inflation Swap.

References

[1] https://en.wikipedia.org/wiki/Zero-Coupon_Inflation-Indexed_Swap

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