ORE Products by Asset Class

Table of Contents

This page is the entry point to the ORE product knowledge notes. The notes document the ORE product set as ORE's User Guide describes it, one note per product section of the products catalogue. Each note pairs the official ORE description with domain grounding, light mathematics and an ORE example. The alphabetical run of all product notes lives in the Knowledge hub, in the Products section.

Seven of the sections below correspond to an asset class, and two do not.

Section Asset class
Interest rate derivatives interest_rates
FX derivatives fx
Inflation derivatives inflation
Equity derivatives equity
Credit derivatives credit
Commodity derivatives commodity
Bonds and cash bond
Multi-asset derivatives and scripted products None; grouped by payoff shape
Hybrid and composite trades None; see below

The last two sections group notes, not product types.

A note documents a payoff family, whereas a product type names one tradable kind. Where ORE offers a payoff across several markets it mints one product type per market — FxAccumulator, EquityAccumulator, CommodityAccumulator — while the User Guide documents the family once. The "Multi-asset derivatives and scripted products" section therefore collects notes whose product types each carry a perfectly clear asset class; it is the note that spans markets, not the product.

The "Hybrid and composite trades" section mixes two cases. A convertible bond and an ASCOT are bond products carrying an equity feature, so their asset class is bond. A composite trade is a container whose characteristics are inherited from its component subtrades, so its class is determined per trade rather than declared on the product type.

Neither section is evidence that the taxonomy needs a hybrid or cross-asset class. The grouping used here is closer to product family than to asset class.

Each table carries a Family column, giving the product family the product belongs to: the shape of contract it is, independent of its market. Reading a family down the page across sections answers a question the sections themselves cannot, such as which options exist in every market.

Five entries carry — rather than a family, and each for a stated reason. Generic Scripted Products documents a mechanism rather than a product. Exotic Variance and Volatility Derivatives documents a family of both swaps and options, so no single shape applies. Synthetic CDO and Collateral Bond Obligation are tranched structures, and whether tranching is a family or a property of one is unsettled. Risk Participation Agreement resembles a guarantee more than any shape listed here.

Two families in the column are not derivative shapes and are worth naming as such. Security covers the cash bond and the instruments built directly on one, which are held rather than contracted. Container covers the composite trade alone.

1. Interest rate derivatives

ORE's rates catalogue covers the swap family, caps and floors, digitals, and the amortising and barrier structures.

Product Family Description
Balance Guaranteed Swap Swap An amortising swap that follows the prepayments of a reference security; ORE's BalanceGuaranteedSwap product.
Callable Swap Swap A swap one party can cancel on set dates; ORE's CallableSwap product.
Cap/Floor Option A strip of interest rate caplets or floorlets bounding a floating leg; ORE's CapFloor product.
Flexi Swap Swap A swap with an option to cut the notional toward a lower bound; ORE's FlexiSwap product.
Forward Rate Agreement Forward A single-period lock on a future interest rate; ORE's ForwardRateAgreement product.
Knock Out Swap Swap A swap that terminates when a rate fixing breaches a barrier; ORE's KnockOutSwap product.
Rate Digital Option Option A fixed-payout option on an interest rate fixing; ORE's RateDigitalOption product.
Swap Swap An interest rate swap exchanges streams of interest payments between two parties on a notional; ORE's swap family.
Swaption Swaption An option to enter an interest rate swap; ORE's Swaption product.
Zero Coupon Swap Swap An interest rate swap whose zero-coupon leg pays one final amount at maturity; ORE's ZeroCouponSwap product.

2. FX derivatives

ORE's FX catalogue covers forwards, swaps and options, the barrier and touch exotics, and the variance swap.

Product Family Description
FX Asian Option Option An FX option on an averaged exchange rate; ORE's FxAsianOption product.
FX Barrier Option Option An FX option with a single barrier; ORE's FxBarrierOption product.
FX Digital Barrier Option Option An FX digital option combined with a barrier; ORE's FxDigitalBarrierOption product.
FX Digital Option Option An FX option paying a fixed amount when the rate settles; ORE's FxDigitalOption product.
FX Double Barrier Option Option An FX option with two barriers around the strike; ORE's FxDoubleBarrierOption product.
FX Double Touch Option Option An FX option paying on one or two spot touches before expiry; ORE's FxDoubleTouchOption product.
FX European Barrier Option Option An FX European barrier option; ORE's FxEuropeanBarrierOption product.
FX Forward Forward An FX forward locks an exchange rate for a future currency exchange; ORE's FxForward product.
FX KIKO Barrier Option Option A knock-in knock-out FX barrier option; ORE's FxKIKOBarrierOption product.
FX Option Option Vanilla FX optionality: the right to exchange currencies at a set rate; ORE's FxOption product.
FX Swap Swap An exchange of two currencies at spot and at a forward date; ORE's FxSwap product.
FX Touch Option Option An FX option paying when spot touches a level before expiry; ORE's FxTouchOption product.
FX Variance Swap Swap An FX derivative on realised variance or volatility; ORE's FxVarianceSwap product.

3. Inflation derivatives

ORE prices inflation swaps in the CPI-linked and year-on-year forms.

Product Family Description
CPI Swap Swap An inflation swap whose CPI-linked leg pays a real rate scaled by index changes.
Year-on-Year Inflation Swap Swap An inflation swap whose leg pays the annual change of an inflation index; ORE's YY leg.

4. Equity derivatives

ORE's equity catalogue covers the cash products, swaps and variance, the option exotics from Asian to cliquet, and outperformance.

Product Family Description
Equity Asian Option Option An Asian option on the average equity price; ORE's EquityAsianOption product.
Equity Auto Delta Hedged Option Option Batches of European equity options with an embedded delta-hedging strategy; ORE's EquityAutoDeltaHedgedOption product.
Equity Barrier Option Option A barrier option on an equity price; ORE's EquityBarrierOption product.
Equity Cliquet Option Option A series of forward-start equity options with local and global caps; ORE's EquityCliquetOption product.
Equity Digital Option Option A cash-or-nothing digital option on an equity; ORE's EquityDigitalOption product.
Equity Double Barrier Option Option A double barrier option on an equity price; ORE's EquityDoubleBarrierOption product.
Equity Double Touch Option Option A cash-or-nothing double touch option on an equity; ORE's EquityDoubleTouchOption product.
Equity European Barrier Option Option A barrier option monitored once at expiry; ORE's EquityEuropeanBarrierOption product.
Equity Forward Forward An agreement to buy or sell shares at a future price; ORE's EquityForward product.
Equity Futures Option Option An option on an equity future contract; ORE's EquityFutureOption product.
Equity Option Option An option to buy or sell shares at a strike price; ORE's EquityOption product.
Equity Option Position Position A position in a single equity option or a weighted option basket; ORE's EquityOptionPosition product.
Equity Outperformance Option Option An option paying the outperformance of one asset over another; ORE's Equity Outperformance Option product.
Equity Position Position A position in a single equity or a weighted equity basket; ORE's EquityPosition product.
Equity Swap Swap A swap of an equity return against a fixed or floating leg; ORE's EquitySwap product.
Equity Touch Option Option A cash-or-nothing one-touch option on an equity; ORE's EquityTouchOption product.
Equity Variance Swap Swap A swap of realised equity variance against a volatility strike; ORE's EquityVarianceSwap product.

5. Credit derivatives

ORE prices single-name and index protection, options on index protection, and the structured and linked credit forms.

Product Family Description
Credit Default Swap Swap A CDS trades protection on a reference entity's default; ORE's CreditDefaultSwap product.
Credit Linked Swap Swap A swap with payments contingent on credit events of a reference; ORE's CreditLinkedSwap product.
Index Credit Default Swap Swap A credit default swap on an index of reference entities; ORE's IndexCreditDefaultSwap product.
Index Credit Default Swap Option Option An option to enter an index CDS at a strike; ORE's IndexCreditDefaultSwapOption product.
Risk Participation Agreement — Credit protection on a counterparty's default on an underlying swap; ORE's RPA product.
Synthetic CDO — A tranched basket credit derivative; ORE's SyntheticCDO product.

6. Commodity derivatives

ORE covers commodity forwards, swaps and options, with Asian, strip, swaption, variance and position forms.

Product Family Description
Commodity Average Price Option Option An Asian option on daily commodity price fixings; ORE's CommodityAveragePriceOption product.
Commodity Forward Forward An agreement to buy or sell a commodity at a set price later; ORE's CommodityForward product.
Commodity Option Option A European or American option on a commodity; ORE's CommodityOption product.
Commodity Option Strip Option A strip of commodity APOs or European options over periods; ORE's CommodityOptionStrip product.
Commodity Position Position A position in a commodity or weighted commodity basket; ORE's CommodityPosition product.
Commodity Swap Swap Floating commodity prices against a fixed price; ORE's CommoditySwap and basis swap forms.
Commodity Swaption Swaption A European option on a forward-starting commodity swap; ORE's CommoditySwaption product.
Commodity Variance Swap Swap A swap on commodity volatility or variance; ORE's CommodityVarianceSwap product.

7. Bonds and cash

The bond catalogue runs from the cash bond to its position, forward, future, repo, option and total-return forms, with cash positions.

Product Family Description
Bond Security A bond is a tradable debt instrument paying scheduled interest and principal; ORE's Bond product.
Bond Forward (Reference Data) Forward A forward contract on a bond with the underlying set by reference data; ORE's ForwardBond product.
Bond Future Future A contract to buy or sell an underlying bond at expiry at an agreed price; ORE's BondFuture product.
Bond Option Option A right to buy or sell a given bond at a fixed price; ORE's BondOption product.
Bond Option (Reference Data) Option A bond option with the underlying bond set by reference data; ORE's BondOption product.
Bond Position Position A position in a weighted basket of underlying bonds; ORE's BondPosition product.
Bond Repo Repo A cash borrowing with a bond posted as collateral; ORE's BondRepo product.
Bond Total Return Swap Swap A swap paying the total return of a bond against a funding leg; ORE's BondTRS product.
Cash Position Position An amount of cash in a currency; ORE's CashPosition product.
Forward Bond Forward A forward contract to buy or sell an underlying bond at a future date; ORE's ForwardBond product.

8. Multi-asset derivatives and scripted products

ORE catalogues payoffs that accept FX, equity or commodity underlyings, several of them in any combination, and prices the compiled forms through its scripted trade module.

Product Family Description
Accumulator Forward A forward purchase of an asset in daily instalments within a price range; ORE's accumulator products.
Autocallable Type 01 Option A structured option that pays accumulated amounts and redeems early below a trigger level; ORE's Autocallable Type 01 product.
Basket Option Option An option on a basket of underlying assets; ORE's BasketOption product.
Best Entry Option Option An option whose payoff uses the best observed entry level of the underlying; ORE's Best Entry Option product.
Double Digital Option Option A binary option paying a fixed amount when two underlyings are simultaneously in the money; ORE's Double Digital Option product.
European Option Contingent on a Barrier Option A plain vanilla European option whose payoff depends on a barrier on another underlying; ORE's EuropeanOptionBarrier product.
Exotic Variance and Volatility Derivatives — Variance and volatility swaps and options with barriers, corridors, baskets and optionality; ORE's exotic variance product family.
Extended Accumulator Forward An accumulator that can extend past a barrier decision date; ORE's ExtendedAccumulator product.
Generic Barrier Option Option A vanilla, asset-or-nothing or cash-or-nothing option with American and expiry barriers; ORE's Generic Barrier Option product.
Generic Scripted Products — The scripted trade module and its flexible payoff scripts; ORE's Generic Scripted Products section.
Performance Option Type 01 Option An option paying a performance return against a strike; ORE's Performance Option Type 01 product.
Rainbow Options Option European options on the best or worst of a range of assets; ORE's Rainbow Options product family.
Strike Resettable Option Option An option whose strike resets when the underlying reaches a level; ORE's Strike Resettable Option product.
Target Redemption Forward Forward A forward series that redeems early at a target profit; ORE's TaRF product.
Total Return Swap Swap A swap paying the total return of an asset against a funding leg; ORE's generic TRS product.
Window Barrier Option Option An option with a barrier active only inside a time window; ORE's Window Barrier Option product.
Worst Of Basket Swap Swap A swap whose coupon references the worst performing asset in a basket; ORE's WorstOfBasketSwap product.

9. Hybrid and composite trades

ORE prices bond structures with embedded equity and credit features, and bundles component trades into one composite trade.

Product Family Description
Ascot Option An American-style option to buy back a convertible bond; ORE's Ascot product.
Callable Bond Security A bond with issuer call and investor put rights; ORE's CallableBond product.
Collateral Bond Obligation — A tranched securitisation of a portfolio of corporate bonds or loans; ORE's CBO product.
Composite Trade Container A hybrid position bundling multiple component trades; ORE's CompositeTrade product.
Convertible Bond Security A bond that converts into a prespecified number of shares; ORE's ConvertibleBond product.

10. See also

  • Trade — the structure note that orders this cluster, and where to read this page in it.
  • Knowledge — the hub of all knowledge notes, with the alphabetical product run.
  • ORE User Guide, Products catalogue: products.tex, which inputs the product sections. The upstream project is OpenSourceRisk/Engine.

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