Amortizing interest rate swap

Definition:

Swap in which the principal or notional amount declines over time.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Implied volatility

The expected volatility in a stock's return derived from its option price, maturity date, exercise price, and riskless rate of return, using an option pricing model such as Black-Scholes.

Subscribe to the Term of the Day via email Get the Term of the Day in your inbox!


Create your free portfolio