FRM How to value an interest rate swap
>> YOUR LINK HERE: ___ http://youtube.com/watch?v=Y7SY5GJOtP0
At inception, the value of the swap is zero or nearly zero. Subsequently, the value of the swap will differ from zero. Under this approach, we simply treat the swap as two bonds: a fixed-coupon bond and a floating-coupon bond. The value of the swap is difference between the two. For more financial risk videos, visit our website at http://www.bionicturtle.com!
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