Swaps can be used for asset/liability management and the creation of securities.

Question

Quizplus · Accepted Answer

Swaps are financial instruments used by companies and investors to manage assets and liabilities more effectively, often by exchanging cash flows or other financial assets to better match income streams with payment obligations. They can also be used in the creation of structured products or securities, allowing for customized risk and return profiles.

Swaps Can Be Used for Asset/liability Management and the Creation