What is VARIABLE PRINCIPAL SWAP?

A swap with principal rates that change depending on the market. Payments also vary depending on the market. AKA rollercoaster. Refer to accreting, amoritizing, index principal, mortgage, and reverse index swaps.

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Related Legal Terms
INDEX PRINCIPAL SWAP, ACCRETING SWAP, REVERSE INDEX PRINCIPAL SWAP, EQUITY PUT SWAP, EQUITY CALL SWAP, EQUITY INDEX SWAP, ZERO COUPON INFLATION SWAP, ANNUAL INFLATION SWAP, CURRENCY SWAP, INFLATION SWAP


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