C is incorrect because an overnight indexed swap is a swap that is tied to a federal funds type of rate, reflecting the rate at which banks borrow overnight, and is not the same as a plain vanilla swap.【释义】浮动利率与固定利率的互换是所有互换品种中最常见的类别,故又称为“普通香草型...
C. fixed interest rate and the counterparty pays a floating rate, both in the same currency. 相关知识点: 试题来源: 解析 C A plain vanilla interest rate swap is a contract where one party pays fixed while the counterparty pays floating, both in the same currency.反馈...
In a plain vanilla interest rate swap: A. payments equal to the notional principal amount are exchanged at the initiation of the swap. B. each party pays a fixed rate of interest on a notional amount. C. one party pays a floating rate and the other pays a fixed rate, both based on ...
Bonly the net interest payments are made. Cthe notional principal is returned at the end of the swap. 相关知识点: 试题来源: 解析 B In a plain vanilla interest rate swap, interest payments are netted. Note that notional principal is not exchanged and is only used as a basis for ...
A plain vanilla interest-rate swap to the fixed-rate payer is equivalent to issuing a fixed-rate bond and:A. selling a series of interest rate puts.B. buying a floating-rate bond.C. selling a series of interest rate calls. 正确答案:B 分享到: 答案解析: 登录之后可查看解析 统计:共计...
C is incorrect because a plain vanilla interest rate swap is one of many derivatives in which a rate, not an instrument (or index) that pays a rate, is the underlying.【释义】“普通香草型互换”的标的资产是(伦敦银行同业拆借利率)LIBOR。
XYZ, Inc. has entered into a “plain-vanilla” interest rate swap on $5000000 notional principal. XYZ company pays a fixed rate of 8.5% on payments that occur at 180-day intervals. Platteville Investments, a swap broker, negotiates with another firm, SSP, to take the receive-fixed side ...
, arranges a plain vanilla interest rate swap between RWDY Enterprises ( pays fixed) and RED, InC. ( receives fixed). The swap has a notional value of 25000000 and 270 days between payments. LIBOR is currently at 7.0%. If at the time of the next payment (due in exactly 270 days) ,...
For a plain-vanilla interest-rate swap with annual reset, which of the following is closest to the duration for the floating side of the swap?A. 0.50.B. 1.00.C. 0.75. 正确答案:A 分享到: 答案解析: The duration of the floating side is 1/2 the time until the next reset date. ...
Assume that you are analyzing a plain vanilla interest rate swap with the following characteristics : Counterparty X Counterparty Y pay fixed rate 6% pay floating rate LIBOR + 0.5% receive floating rate LIBOR +0.5% receive fixed rate 6% Swap tenor: 10 years National principal: $1000000 LIBOR :...