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Swap Close-Out

June 14, 2021
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June 14, 2021

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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.

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