Derivatives
Money Market Derivative
July 20, 2020
Accounting
Asset Fair Value
July 21, 2020

It stands for money-market derivative: a short-term interest rate derivative that is used in money market trading and hedging. Examples of money market derivatives include short-term interest rate futures and forward rate agreements (FRAs), short-dated interest rate swaps and overnight interest rate swaps (OIS swaps).

Money market derivatives are priced using the forward rate.

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts