Spreadlock Definition

Spreadlock Definition

What Is a Spreadlock? A spreadlock is a credit derivative contract that establishes a predetermined spread for future interest rate swaps. The two main types of spreadlocks that can be used are forward-based spreadlocks and option-based spreadlocks.  With a spreadlock, an interest rate swap user may lock in a current spread between a swap and

Spread-to-Worst Definition

Spread-to-Worst Definition

What is Spread-To-Worst? Spread-to-worst (STW) measures the dispersion of returns between the best and worst performing security in a given market, usually bond markets, or between returns from different markets. Key Takeaways Spread-to-worst (STW) measures the dispersion of returns between the best and worst performing security in a given market, usually bond markets, or between

Spring Loading Definition

Spring Loading Definition

What Is Spring Loading? Spring loading is an option-granting practice in which options are granted to employees at a time that precedes a positive news event. This is a controversial practice as it allows employees to potentially book instant profits after the news event. It is not illegal but it does bear a resemblance to

Squawk Box Definition

Squawk Box Definition

What Is a Squawk Box? A squawk box is a term used for an intercom speaker that a brokerage firm’s analysts or traders use on trading floors or desks. Squawk boxes can be found in investment banks, along with stock brokerages, and on exchange floors. A squawk box allows a firm’s analysts and traders to

Socially Responsible Investment (SRI) Definition

Socially Responsible Investment (SRI) Definition

What Is a Socially Responsible Investment (SRI)? Socially responsible investing (SRI), also known as social investment, is an investment that is considered socially responsible due to the nature of the business the company conducts. A common theme for socially responsible investments is socially conscious investing. Socially responsible investments can be made into individual companies with

What It Is and How It Works

What It Is and How It Works

What Is the Social Security Administration (SSA)? The Social Security Administration (SSA) is a U.S. government agency that administers social programs covering disability, retirement, and survivors’ benefits, among other services. It is also responsible for issuing Social Security numbers and managing the program’s finances and trust fund. Key Takeaways The Social Security Administration (SSA) oversees