The dollar value of a basis point for a swap dealer’s entire bucket cash flow. A cash flow bucket typically includes all cash flows that occur within a common time period. For example, if the entire bucket of a dealer is USD 1 million, then the dollar value of a basis point is USD 10,000.
Derivatives
Derivatives have increasingly become very important tools in finance over the last three decades. Many different types of derivatives are now traded actively on ...
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