Derivative

Contract for Differences (CFD)
A derivative contract in which one party agrees to pay another the difference between the current value of an underlying asset and the value at the time the contract was made.
Hybrid Investment/Security
A hybrid investment or security combines features of multiple types of financial instruments. These investment vehicles are crafted to provide a mix of benefits from the different underlying instruments they are associated with. For example, a structured note could resemble a bond but have its interest rate linked to the performance of an underlying commodity.

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.