The advantage of a rate-capped interest rate swap (relative to a plain vanilla swap) to a party exchanging floating payments for fixed payments is that

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The advantage of a rate-capped interest rate swap is that it provides a maximum limit on the interest payments it will provide, which can protect the party from potentially significant losses in a rising interest rate environment. This is beneficial for a party exchanging floating payments for fixed payments, as it allows them to limit their exposure to interest rate risk. None of the other options listed are advantages of a rate-capped interest rate swap.

The Advantage of a Rate-Capped Interest Rate Swap (Relative to a Plain