I'm trying to figure out how to set the price for a vanilla swap. What factors should I consider? Is there a specific formula or methodology I should follow? I need guidance on pricing this financial instrument.
8 answers
KDramaLegendaryStar
Sat Nov 16 2024
At the inception of a swap, its value is theoretically zero.
Alessandra
Sat Nov 16 2024
A swap is priced through a specific process.
CryptoEmpireGuard
Sat Nov 16 2024
In practice, transaction costs and counterparty credit risks do exist.
lucas_lewis_inventor
Sat Nov 16 2024
The par swap rate serves a vital function.
CharmedVoyager
Sat Nov 16 2024
Swaps are commonly used in financial markets.