Page 171 - PRIAA Glossary

TREASURY BOND
Debt issued by the US government, with a maturity of more than 10 years.
TREASURY NOTE
Debt issued by the US government, with a maturity between 1 and 10 years.
TREYNOR RATIO
Also known as the “reward-to-volatility ratio,” a risk- adjusted measure of return based on beta. Note that this is similar to the Sharpe ratio, with the difference being that it uses beta instead of standard deviation: (Average Return of the Portfolio - Average Return of the Risk-Free Rate)/Beta of the Portfolio.
TRIGGER CONDITION
The condition that must be satisfied in order for a path dependent option, such as a barrier option, to become effective and pay the option holder if it expires in-the-money. In the case of barrier options, this is the condition that the underlying asset must hit or cross some predetermined price threshold in order for the option to become effective. See also “barrier option” and “range binary”.
TRIOPTIMA
Third-party vendor providing post-trade services to
the derivatives market in an effort to reduce costs and operational risks for its subscribers. Services include triReduce, which terminates economically redundant trade inventory in a tear-up process and triResolve, which reconciles the terms of bilateral derivative trade portfolios between counterparties.
TRUSTED SOURCE
An entity whose submissions to the global trade repository (GTR) are deemed to be the official record of the position. Examples include asset service providers (ASPs), such as the DTCC Trade Information Warehouse and derivatives clearing organisations (DCOs).
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