Fixed Income

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August 31, 2024 3 min read Definitions

Z-Spread: Constant Spread Over Risk-Free Curve

Finance Investments Fixed Income Z-Spread Fixed-Income Securities Yield Spread Risk-Free Rate Bond Pricing

The Z-Spread, or Zero Volatility Spread, is the constant spread that, when added to the yield of each point on the risk-free spot rate curve, mathematical discounts the cash flows of a security to its present market value.

August 24, 2024 4 min read Definitions

Option-Adjusted Spread (OAS): Comprehensive Definition and Practical Examples

Finance Investments Fixed Income Option-Adjusted Spread Fixed-Income Securities Yield Comparison Investment Analysis Financial Metrics

Understand the Option-Adjusted Spread (OAS) in fixed-income investments, its calculation, significance, and practical applications. Learn how OAS helps in comparing yields of different fixed-income securities with embedded options.