A zero-coupon swap involves the exchange of cash flows where the fixed-rate side pays a lump sum at maturity. Learn its key ...

A callable swap allows one party to exchange fixed for variable rate cash flows but includes an option to terminate early, providing flexibility in financial contracts.

Local banks are responding to an uncertain future interest rate environment by developing multifaceted strategies and working ...

Counterparty Credit Risk The credit risk associated with the counterparty to the swap can also influence the pricing of zero-coupon inflation swaps. If a counterparty is perceived to have a higher ...

There used to be a fair degree of certainty that the terms of the cross-currency swap would have been agreed before, or at ...

To continue reading this content, please enable JavaScript in your browser settings and refresh this page. Interest rates have been a persistent challenge for ...

Dutch pension funds are expected to unwind interest-rate swap trades as they move to a new investing model, leaving banks exposed to a “basis trap,” according to Societe Generale SA. The funds are ...

The International Accounting Standards Board proposed a new accounting model to reflect how banks and other financial institutions manage interest rate risks in their portfolios. Processing Content ...

Sprenkels warns that volatility could still emerge if multiple funds decide to reduce their interest rate hedges ...

PFIX can act as an interest rate hedge as inflationary expectations rise. Rising inflation can potentially add upward pressure to SOFR and long-dated rates. The strategy primarily focuses on ...