P-V interest swap, who is long

CFA Level III
#1

in this swap? pay fixed, receive floating pay floating, receive fixed

#2

pay fixed is long i believe

#3

you are ‘long’ interest rate.

#4

You are right. Thanks CSK. comp_sci_kid Wrote: ------------------------------------------------------- > you are ‘long’ interest rate.

#5

on a related questions, if the MV of a swap is simply stated as being $10, does that mean that the long (fixed payer) owes a MV of $10, and therefore the floating rate is the one with credit risk?

#6

prockets Wrote: ------------------------------------------------------- > on a related questions, if the MV of a swap is > simply stated as being $10, does that mean that > the long (fixed payer) owes a MV of $10, and > therefore the floating rate is the one with credit > risk? I think it should be the opposite.