Swap Dealer

Filed Under » , ,
Dictionary Says

Definition of 'Swap Dealer'

An individual who acts as the counterparty in a swap agreement for a fee called a spread. Swap dealers are the market makers for the swap market. The spread represents the difference between the wholesale price for trades and the retail price. Because swap arrangements aren't actively traded, swap dealers allow brokers to standardize swap contracts to some extent.
Investopedia Says

Investopedia explains 'Swap Dealer'

Historically, swaps have been traded in the over-the-counter market, mainly between firms and financial institutions, in largely unregulated transactions. In 2011, the SEC proposed requiring security-based swap dealers and participants to register with the commission, as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The swap market would be overseen by the SEC and the CFTC. Swap dealers would have to change their business models and more trades would occur via exchange-like mechanisms. The Wall Street Journal stated that the proposed regulations would increase competition among swap dealers and decrease their profits, increase market liquidity and make trading more efficient for customers.
Search results for

'Swap Dealer'

  • Currency Swap Basics

    http://www.investopedia.com/articles/forex/11/introduction-currency-swaps.asp
    ... For simplicity, the aforementioned example excludes the role of a swap dealer, which
    serves as the intermediary for the currency swap transaction. ...

  • CFA Level 1 Study Guide - Derivatives - Interest Rate and Equity ...

    http://www.investopedia.com/exam-guide/cfa-level-1/derivatives/interest-rate-equity-swaps.asp
    ... 15.35 Effect of Cash Flows on Put-Call Parity and the Lower Bounds; 15.36 Swap Markets
    and Contracts; 15.37 Currency Swaps; 15.38 Interest Rate and Equity Swaps ...

  • CFA Level 1 Study Guide - Derivatives - End Users and Dealers ...

    http://www.investopedia.com/exam-guide/cfa-level-1/derivatives/end-users-dealers.asp
    ... Call Parity; 15.35 Effect of Cash Flows on Put-Call Parity and the Lower Bounds;
    15.36 Swap Markets and Contracts; 15.37 Currency Swaps; ...

  • CFA Level 1 Study Guide - Global Economic Analysis - Spread ...

    http://www.investopedia.com/exam-guide/cfa-level-1/global-economic-analysis/spread.asp
    ... Call Parity; 15.35 Effect of Cash Flows on Put-Call Parity and the Lower Bounds;
    15.36 Swap Markets and Contracts; 15.37 Currency Swaps; ...

  • CFA Level 1 Study Guide - Derivatives - Equity Forward Contracts ...

    http://www.investopedia.com/exam-guide/cfa-level-1/derivatives/equity-forward-contracts.asp
    ... 15.35 Effect of Cash Flows on Put-Call Parity and the Lower Bounds; 15.36 Swap Markets
    and Contracts; 15.37 Currency Swaps; 15.38 Interest Rate and Equity Swaps

  • CFA Level 1 Study Guide - Derivatives - Characteristics of Forward ...

    http://www.investopedia.com/exam-guide/cfa-level-1/derivatives/characteristics-fras-forward-rate-agreements.asp
    Sign In• Register• Free Annual Reports • Free Newsletters. Dictionary;
    Investing; Markets; Personal Finance; Active Trading; Forex; ...

  • Credit Default Swaps: What Happens In A Credit Event?

    http://www.investopedia.com/articles/bonds/09/what-happens-to-single-name-cds.asp
    ... The first stage involves requests for physical settlement and the dealer market
    process where the inside market midpoint (IMM) is set. ...

  • CFA Level 1 Study Guide - Global Economic Analysis - Spot Market ...

    http://www.investopedia.com/exam-guide/cfa-level-1/global-economic-analysis/spot-market.asp
    ... 15.35 Effect of Cash Flows on Put-Call Parity and the Lower Bounds; 15.36 Swap Markets
    and Contracts; 15.37 Currency Swaps; 15.38 Interest Rate and Equity Swaps

  • When The Federal Reserve Intervenes (And Why)

    http://www.investopedia.com/articles/economics/08/federal-reserve-intervention.asp
    ... which allows primary dealers to swap less-liquid mortgage-backed securities for
    more-liquid Treasury securities; Creating the primary dealer credit facility ...

  • CFA Level 1 Study Guide - Fixed Income Investments - Arbitrage ...

    http://www.investopedia.com/exam-guide/cfa-level-1/fixed-income-investments/arbitrage-free-valuation-approach.asp
    Sign In• Register• Free Annual Reports • Free Newsletters. Dictionary;
    Investing; Markets; Personal Finance; Active Trading; Forex; ...

Related Articles

Trading Center
Partner Links