Suppose a Swiss currency swap dealer, ABC Investment Bank, quotes currency swap rates as follows: 4.50% -

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Suppose a Swiss currency swap dealer, ABC Investment Bank, quotes currency swap rates as follows: 4.50% - 4.65% in Swiss francs (SF) annually against 6-month $ LIBOR. This swap implies:

a.ABC will receive annual fixed Swiss franc payments of 4.50% and pay 6-month $ LIBOR

b.none of the other answers

c.ABC will pay annual fixed payments of 4.50% in US $ and receive 6-month $ LIBOR

d.ABC will pay annual fixed Swiss franc payments of 4.65% and receive 6-month $ LIBOR

Posted Date: May 18, 2024 10:11 PM

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Suppose a Swiss currency swap dealer, ABC Investment Bank, quotes currency swap rates as follows: 4.50% -

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