Which of the following are possible swaps?
A) Floating-for-floating.
B) Zero-coupon for floating.
C) Fixed for floating.
D) All of these.

Question

Quizplus · Accepted Answer

All of the given options are possible swaps. A floating-for-floating swap involves exchanging two different floating interest rates. A zero-coupon for floating swap involves exchanging a fixed future payout (zero-coupon) for a floating interest rate. A fixed-for-floating swap involves exchanging a fixed interest rate for a floating interest rate. Therefore, all options are possible swaps.

Which of the Following Are Possible Swaps