____ swap allows the party making fixed payments to extend the swap period.

Question

Quizplus · Accepted Answer

An extendable swap allows the party making fixed payments to extend the swap period. This means that the party can continue to pay fixed rates beyond the original maturity date of the swap. A forward swap is a type of swap that is agreed upon today but will not be effective until a future date, it does not allow for extensions. A callable swap allows the party making variable payments to terminate the swap early, while a putable swap allows the party making fixed payments to terminate the swap early.

____ Swap Allows the Party Making Fixed Payments to Extend