A swap that allows the floating-rate receiver to choose between receiving the reference rate value prevailing at either the beginning or the end of the swap coupon period. For example, if the reference rate is 5.5% and 5.7% at the start and end of a given coupon period, the floating-rate receive will have the right to choose between the two rates- in this case the higher rate, 5.7%.
December 16, 2024
