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9:14
YouTube
Bionic Turtle
FRM: How to value an interest rate swap
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 ...
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Pricing a Floating Rate Coupon
FRM: How to value an interest rate swap
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