The present value of a basis point (PV01) of a swap is the change in its value due to a one basis point parallel shift of the swap curve. A swap has a positive PV01 if its value increases (decreases) when the swap curve shifts downward (upward) by one basis point. And a swap would have a negative PV01 if its value decreases (increases) when the swap curve shifts downward (upward) by one basis point. For a given swap curve, PV01 readings indicate how much the value of the swap changes if the swap’s fixed coupon is moved by one basis point.

In general, such a swap, for a fixed-rate receiver, would have a positive PV01, while for a fixed-rate payer, the swap’s PV01 is negative.