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Interest Rate Risk Derivatives and Their Use in Managing Financial Risk

Robert Cooper

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Abstract

An interest rate swap is a legal arrangement between two parties to exchange interest rate payments or receipts on a notional principal amount, for a specific period of time. The interest obligations are in the same currency. There is no exchange or payment of principal under an interest rate swap. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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An interest rate swap is a legal arrangement between two parties to exchange interest rate payments or receipts on a notional principal amount, for a specific period of time. The interest obligations are in the same currency. There is no exchange or payment of principal under an interest rate swap. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Available abstract

An interest rate swap is a legal arrangement between two parties to exchange interest rate payments or receipts on a notional principal amount, for a specific period of time. The interest obligations are in the same currency. There is no exchange or payment of principal under an interest rate swap. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Key concepts: Interest rate swap, Swap (finance), Notional amount, Interest rate, Payment, Business, Principal (computer security), Currency

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