Swaption Styles
There are three main categories of Swaption, although exotic desks may be willing to create customised types, analogous to exotic options, in some cases. The standard varieties are
- Bermudan swaption, in which the owner is allowed to enter the swap on multiple specified dates.
- European swaption, in which the owner is allowed to enter the swap only on the maturity date. These are the standard in the marketplace.
- American swaption, in which the owner is allowed to enter the swap on any day that falls within a range of two dates.
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Famous quotes containing the word styles:
“Can we love our children when they are homely, awkward, unkempt, flaunting the styles and friendships we don’t approve of, when they fail to be the best, the brightest, the most accomplished at school or even at home? Can we be there when their world has fallen apart and only we can restore their faith and confidence in life?”
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