support@ohctraderoom.com +234 704 777 9807

OHC Trade Room · Reference

OHC glossary

Every term used across the OHC Trade Room courses, defined the way we teach it. No external definitions are substituted.

terms
553
categories
10
source modules
12

553 terms A–Z

Fixed Income Advanced

Convexity

The curvature in the price-yield relationship that duration, being a straight-line measure, misses. Positive convexity means prices rise more when yields fall than they fall when yields rise — a benefit to the holder. It matters most for large rate moves and long-duration positions.

Taught in
Module 3 — Fixed Income →
Level
Advanced — assumes working knowledge