Currency swaps involve the exchange of a set of payments on one currency for a set of payments in another.

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Currency swaps involve exchanging payments on one currency for payments on another currency, typically to reduce risk or benefit from different interest rates. The exchange typically occurs at the beginning and end of the swap agreement, and the payments are based on a notional amount of currency rather than an actual exchange of funds.

Currency Swaps Involve the Exchange of a Set of Payments