The notional principal of a derivative contract such as a forward contract, futures contract, option, or swap. For example, the face value of an interest rate swap may be US 10 million, that is interest payments by the two counterparties will be determined based on this amount and a counterparty’s respective leg (floating-floating, fixed-floating, etc).
This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Comments