Skip to content

At what point in a swap’s life is the credit risk in an interest rate swap the greatest?

January 5, 2016

In the middle of the swap.

Credit Quality of one or both parties can have deteriorated over time and there are still significant payments remaining.

Advertisements

From → Asset Valuation

Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: