ZE Bank enters into a plain vanilla swap contract with Lux Financiers with the intent of receiving floating rate payments. Which of the following is the appropriate position of ZE Bank?A. Pay-fixed sideB. Pay-floating sideC. Long position

The correct answer is A.In a plain vanilla swap or interest rate swap, the party who wants to receive floating rate payments against fixed rate payments on notional principle is called the pay-fixed side.

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  25 Jan 2020 at 6:56 pm
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  The correct answer is A.
  
  In a plain vanilla swap or interest rate swap, the party who wants to receive floating rate payments against fixed rate payments on notional principle is called the pay-fixed side.
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