Back-to-back loan

Definition:

A loan in which two companies in separate countries borrow each other's currency for a specific time period and repay the other's currency at an agreed-upon maturity.

Investing Essentials


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

Term of the Day

Interfund transactions

Financial arrangements effected by payments made from one fund group (either Federal funds or trust funds) to another group.

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