A swap in which the payer of a given leg agrees to assign the other leg to a third party. As such, the payer of the other leg steps out of the deal, receiving or paying the net amount of the new transaction. Assignments are unwinds done with a third party (usually a bank or financial institution) which steps into the shoes of one of the swap’s counterparties.
Derivatives
Derivatives have increasingly become very important tools in finance over the last three decades. Many different types of derivatives are now traded actively on ...
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