Browse Financial Instruments

Swaps, Rates, and Credit Derivatives

Swap, interest-rate derivative, credit derivative, currency swap, total-return, variance, and inflation-swap terms.

Swaps, Rates, and Credit Derivatives is the financial-instruments landing page for swap mechanics, ISDA documentation, notional principal, interest-rate swaps, currency swaps, credit derivatives, total-return swaps, variance swaps, volatility swaps, and inflation swaps. It keeps related terms in one branch so readers can move from a broad instrument question to the article that owns the contract evidence.

Use this page when a swap or rate-linked derivative changes cash-flow exchange, counterparty exposure, hedging, or valuation. Use the parent Derivatives page when you need the broader instrument map. For an individual decision, confirm the contract, term sheet, prospectus, confirmation, exchange specification, or disclosure record before relying on the term.

Use the table below to choose the branch that matches the instrument type, payoff feature, settlement term, or risk exposure being reviewed.

What This Branch Covers

BranchUse it for
Core Swap Mechanics and InfrastructureSwap, notional principal, ISDA, swap data repository, swap rate, and swaption terms.
Credit, Equity, Total-Return, and Volatility SwapsCredit default swap, index CDS, equity swap, total-return swap, variance swap, volatility swap, and zero-basis-risk swap terms.
Currency and Cross-Border SwapsCurrency swap, cross-currency swap, foreign-exchange swap, non-deliverable swap, quanto swap, and swap-points terms.
Interest-Rate and Inflation SwapsInterest-rate swap, overnight index swap, asset swap, HJM model, inflation swap, zero-coupon swap, and zero-coupon inflation swap terms.

Example in Use

An interest-rate swap can convert fixed-rate debt exposure into floating-rate exposure without refinancing the underlying loan.

What to Check

  • Counterparties, notional amount, fixed leg, floating leg, reference rate, payment dates, and maturity.
  • Collateral terms, ISDA documentation, clearing status, margin, termination events, and reporting records.
  • Credit, currency, equity, rate, inflation, variance, or total-return exposure being transferred.
  • Effect on hedge effectiveness, funding cost, duration, basis risk, counterparty credit risk, and mark-to-market value.

Common Mistakes

  • Confusing notional principal with the amount actually exchanged.
  • Ignoring collateral, clearing, termination rights, and counterparty risk.
  • Comparing swaps without matching reference rates, reset dates, payment frequency, and day-count conventions.

Swaps & Credit Derivatives content is educational and does not provide personalized investment, tax, legal, accounting, valuation, derivatives, or securities advice.

In this section

Choose a subsection first. Deeper term pages live inside each subsection, which keeps large topic hubs readable.

Swap Mechanics

Swap, notional principal, ISDA, swap data repository, swap rate, and swaption terms.

Credit & Vol Swaps

Credit default swap, index CDS, equity swap, total-return swap, variance swap, volatility swap, and zero-basis-risk swap terms.

Currency Swaps

Currency swap, cross-currency swap, foreign-exchange swap, non-deliverable swap, quanto swap, and swap-points terms.

Rate & Inflation Swaps

Interest-rate swap, overnight index swap, asset swap, HJM model, inflation swap, zero-coupon swap, and zero-coupon inflation swap terms.

Revised on Sunday, June 21, 2026