Suppose a trader has entered two $ 15 million notional amount equity swaps both with a fixed

Question:

Suppose a trader has entered two $ 15 million notional amount equity swaps both with a fixed rate of 6 percent, paid quarterly on the basis of 90 days in the quarter and 360 days in the year. The first swap is a receive fixed and pay three-month total return on Apple, Inc. The second swap is a receive three-month total return on Microsoft, Inc., and pay fixed swap. Explain the net cash flows from this as well as identify the market risk?
Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...