Hedge Termination Value definition: Copy, customize, and use instantly
Introduction
The term "Hedge Termination Value" refers to the amount determined upon the early termination of a hedge agreement, such as an interest rate swap, currency hedge, or commodity hedge. This value represents the financial obligation or receivable that arises when the hedge is settled before its scheduled maturity. It is essential for defining the financial impact of terminating hedge agreements in loan agreements, financial contracts, and risk management strategies.
Below are various examples of how "Hedge Termination Value" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Hedge Termination Value" as the net settlement amount
This definition ties "Hedge Termination Value" to the net payable or receivable amount.
"Hedge Termination Value" means the net amount payable or receivable upon the early termination of a hedge agreement, determined in accordance with the terms of the relevant hedge contract.
Definition of "Hedge Termination Value" as the mark-to-market value
This definition connects "Hedge Termination Value" to fair value calculations.
"Hedge Termination Value" refers to the mark-to-market valuation of a hedge transaction at the time of termination, reflecting the prevailing market conditions.
Definition of "Hedge Termination Value" as calculated by an independent agent
This definition applies "Hedge Termination Value" to third-party valuations.
"Hedge Termination Value" means the amount determined by an independent valuation agent based on prevailing market rates upon the early termination of a hedge agreement.
Definition of "Hedge Termination Value" as determined under ISDA guidelines
This definition ties "Hedge Termination Value" to industry standards.
"Hedge Termination Value" refers to the amount calculated in accordance with the International Swaps and Derivatives Association (ISDA) Master Agreement upon early termination of the hedge.
Definition of "Hedge Termination Value" as the liquidation cost of a hedge position
This definition connects "Hedge Termination Value" to exit costs.
"Hedge Termination Value" means the liquidation cost incurred when closing out a hedge position before its scheduled maturity, including all applicable fees and adjustments.
Definition of "Hedge Termination Value" as determined by swap counterparties
This definition applies "Hedge Termination Value" to mutual agreements.
"Hedge Termination Value" refers to the amount mutually agreed upon by both hedge counterparties to settle the terminated hedge contract.
Definition of "Hedge Termination Value" as a liability in a credit agreement
This definition ties "Hedge Termination Value" to financial obligations.
"Hedge Termination Value" means the liability recognized by a borrower upon the termination of an interest rate, currency, or commodity hedge under a credit agreement.
Definition of "Hedge Termination Value" as a component of a debt instrument
This definition connects "Hedge Termination Value" to debt financing.
"Hedge Termination Value" refers to the amount included in the calculation of outstanding debt obligations when a hedge associated with a loan is terminated.
Definition of "Hedge Termination Value" as a corporate treasury metric
This definition applies "Hedge Termination Value" to internal financial management.
"Hedge Termination Value" means the financial impact assessed by a company’s treasury department when unwinding a hedge position before its scheduled maturity.
Definition of "Hedge Termination Value" as a termination event in a swap agreement
This definition ties "Hedge Termination Value" to specific financial instruments.
"Hedge Termination Value" refers to the calculated settlement amount upon the occurrence of a termination event under an interest rate or currency swap agreement.
Definition of "Hedge Termination Value" as the value of a prematurely ended futures hedge
This definition connects "Hedge Termination Value" to commodity markets.
"Hedge Termination Value" means the financial outcome of terminating a futures hedge position before its expiration date.
Definition of "Hedge Termination Value" as a financial institution’s claim upon default
This definition applies "Hedge Termination Value" to creditor rights.
"Hedge Termination Value" refers to the claim amount a financial institution can demand from a counterparty upon hedge termination due to default or bankruptcy.
Definition of "Hedge Termination Value" as the sum of unpaid obligations
This definition ties "Hedge Termination Value" to outstanding payments.
"Hedge Termination Value" means the total of unpaid obligations under a hedge contract that becomes due upon its early termination.
Definition of "Hedge Termination Value" as an impairment charge in financial statements
This definition connects "Hedge Termination Value" to accounting principles.
"Hedge Termination Value" refers to the impairment loss recognized in financial statements when a hedge contract is terminated before maturity.
Definition of "Hedge Termination Value" as adjusted for discounting factors
This definition applies "Hedge Termination Value" to time-value considerations.
"Hedge Termination Value" means the amount determined by discounting future cash flows associated with the hedge to present value upon termination.
Definition of "Hedge Termination Value" as part of a distressed asset sale
This definition ties "Hedge Termination Value" to asset restructuring.
"Hedge Termination Value" refers to the amount realized upon the liquidation of a hedge position as part of a distressed asset sale.
Definition of "Hedge Termination Value" as an early termination adjustment in project finance
This definition connects "Hedge Termination Value" to infrastructure financing.
"Hedge Termination Value" means the amount calculated upon the premature termination of a hedge agreement related to a project finance structure.
Definition of "Hedge Termination Value" as a component of a structured finance transaction
This definition applies "Hedge Termination Value" to securitization.
"Hedge Termination Value" refers to the amount included in structured finance transactions when a hedge instrument is unwound before the transaction’s completion.
Definition of "Hedge Termination Value" as a fixed payment under pre-agreed terms
This definition ties "Hedge Termination Value" to contractual certainty.
"Hedge Termination Value" means a pre-determined amount payable upon hedge termination, as stipulated in the hedge contract.
Definition of "Hedge Termination Value" as the breakage cost of a hedge contract
This definition ties "Hedge Termination Value" to the cost of ending a hedge early.
"Hedge Termination Value" means the breakage cost incurred by a party when terminating a hedge contract prior to its scheduled maturity, including any penalties or fees.
Definition of "Hedge Termination Value" as the credit exposure upon early hedge settlement
This definition connects "Hedge Termination Value" to counterparty credit risk.
"Hedge Termination Value" refers to the credit exposure that arises for a counterparty when a hedge agreement is terminated before its natural expiration.
Definition of "Hedge Termination Value" as a liability recorded in risk management reports
This definition applies "Hedge Termination Value" to corporate risk reporting.
"Hedge Termination Value" means the financial liability recorded in an entity’s risk management reports upon the premature termination of a hedge position.
Definition of "Hedge Termination Value" as the market replacement cost of a hedge
This definition ties "Hedge Termination Value" to market-driven factors.
"Hedge Termination Value" refers to the cost of replacing a terminated hedge with a new hedge instrument reflecting current market conditions.
Definition of "Hedge Termination Value" as an expense recognized for hedge de-designation
This definition connects "Hedge Termination Value" to accounting treatment.
"Hedge Termination Value" means the expense recognized when a hedge relationship is de-designated, and the hedge is closed prior to its intended use.
Definition of "Hedge Termination Value" as the settlement amount in a swap unwind transaction
This definition applies "Hedge Termination Value" to swap terminations.
"Hedge Termination Value" means the amount determined as part of a swap unwind transaction, reflecting the financial impact of closing out the agreement.
Definition of "Hedge Termination Value" as the present value of future hedge cash flows
This definition ties "Hedge Termination Value" to discounted cash flow analysis.
"Hedge Termination Value" refers to the present value of expected future cash flows under a terminated hedge agreement, calculated at the termination date.
Definition of "Hedge Termination Value" as a settlement amount in an option hedge
This definition connects "Hedge Termination Value" to option-based hedging.
"Hedge Termination Value" means the net settlement amount due upon early termination of an option-based hedge contract.
Definition of "Hedge Termination Value" as determined by a financial institution
This definition applies "Hedge Termination Value" to bank calculations.
"Hedge Termination Value" refers to the value determined by a financial institution based on the prevailing market rates and contractual terms of the hedge agreement.
Definition of "Hedge Termination Value" as an exposure amount in financial stress testing
This definition ties "Hedge Termination Value" to regulatory stress testing.
"Hedge Termination Value" means the financial exposure assessed under stress testing models when a hedge position is terminated under adverse conditions.
Definition of "Hedge Termination Value" as a financial adjustment in portfolio rebalancing
This definition connects "Hedge Termination Value" to asset allocation strategies.
"Hedge Termination Value" refers to the adjustment made in a financial portfolio when terminating a hedge as part of a rebalancing strategy.
Definition of "Hedge Termination Value" as the net difference between actual and projected hedge performance
This definition applies "Hedge Termination Value" to hedge effectiveness measurement.
"Hedge Termination Value" means the net financial impact of terminating a hedge, based on the difference between projected and actual hedge performance.
Definition of "Hedge Termination Value" as part of an ISDA close-out amount
This definition ties "Hedge Termination Value" to standardized contract terms.
"Hedge Termination Value" refers to the close-out amount calculated under the ISDA Master Agreement for a terminated hedge transaction.
Definition of "Hedge Termination Value" as the fair value adjustment for an unwound hedge
This definition connects "Hedge Termination Value" to fair value accounting.
"Hedge Termination Value" means the fair value adjustment recorded in financial statements when a hedge contract is terminated before maturity.
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