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Forex indicators What do absolute rate mean?
avatar JayV
Question by: JayV - 01 Oct 2012, 07:15:34
What do absolute rate mean?
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avatar user 3867
Answer by: Samanthar - 03 Dec 2014, 03:23:32

The absolute rate is a combination of the reference rate and the premium or discounted fixed percentage. For example, if the LIBOR is 3% and the fixed interest portion of the swap is at a 7% premium, theabsolute rate is 10%

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