Talk:Currency swap
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[edit] Naming
The description and the naming of the lemma is not quite clear to me. The first part of the article seems to describe an FX Swap to me (FX cash plus reverse FX forward). The last part then describes a combination with an interest rate swap. I would call this a cross currency swap (as in the navigation bar); Hull, admittedly, calls it a currency swap. Although english is not my native language, I deal (not trade) with these things in English quite frequently and I am pretty confident about the naming. --172.173.159.207 11:06, 30 December 2006 (UTC) (i. e. de:Benutzer Marinebanker)
I agree!
An FX Swap / Currency Swap should be defined as:
Two Foreign Exchange transactions executed simultaneously a spot FX trade and a forward FX trade.
Example:
BUY USD ag JPY value spot and SELL USD ag JPY forward.
This has nothing to do with fixed rate or floating rates.
There seems to be some confusion over "FX Swaps" "Currency Swaps" and Interest rate derivatives such as Cross Currency Swap.
How can we change theses definitions as they are incorrect? —Preceding unsigned comment added by Jake2pt.lu (talk • contribs) 13:59, 31 August 2007 (UTC)
I stand corrected. A currency swap is the same as a cross currency swap, it is not an FX swap.
FX Swap: FX Spot plus reverse FX Forward
(Cross) Currency Swap: Exchange of notional in two currencies at inception and (in reverse) at maturity, inetrest payments in both currencies during life of trade.
I checked it in Hull: Options, Futures and other derivatives.
Sorry for the confusion. --172.182.214.160 17:23, 12 September 2007 (UTC) (i. e. de:Benutzer Marinebanker)
The pdf document linked at the end of the page is not accessible to everybody. —Preceding unsigned comment added by 69.70.120.18 (talk) 19:54, 29 April 2008 (UTC)
