A diff swap pays off in one currency based on the difference between two interest rates from different countries.

Name: A diff swap pays off in one currency based on the difference between two interest rates from different countries.
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A diff swap, or differential swap, is a financial instrument that pays off based on the difference between two interest rates from different countries. It is often used as a hedging tool by multinational corporations to mitigate interest rate risk.

A Diff Swap Pays Off in One Currency Based on the Difference