Putable Transfer Definition

Putable Transfer Definition

What Is a Putable Swap? A putable swap is a cancellable interest rate swap—containing an embedded put option—where one counterparty makes payments based on a floating rate, while the other party makes payments based on a fixed rate. The fixed-rate receiver (floating-rate payer) has the right, but not the obligation, to terminate the swap on

Put Swaption

Put Swaption

What Is a Put Swaption? A put swaption, or put swap option, is a position on an interest rate swap that gives an entity the right to pay a fixed rate of interest and receive a floating rate of interest from the swap counterparty. Put swaptions are used by those entities seeking to earn floating

Put to Dealer

Put to Dealer

What Is Put to Seller? “Put to seller” describes the process of a put option being exercised. The put writer becomes responsible for receiving the underlying shares from the put buyer at the strike price since being long a put gives the holder the right to sell the underlying asset. Put to seller usually occurs when the put’s