Industry WIKI

A variable-rate mortgage, adjustable-rate mortgage (ARM), or tracker mortgage is a mortgage loan with the interest rate on the note periodically adjusted based on an index which reflects the cost to the lender of borrowing on the credit markets. The loan may be offered at the lender's standard variable rate/base rate. There may be a direct and legally defined link to the underlying inde

The accounting term Hedge relationship relates to the treatment of an insurance contract for risk mitigation on an underlying asset, and the set of tests for the valuation of this insurer/insuree contract.