Swap reversal

Swap reversal

An interest rate swap designed to end a counterparty's role in another interest rate swap, accomplished by counterbalancing the original swap in maturity, reference rate, and notional amount.

Swap Reversal

An interest rate swap with the exact opposite terms as another interest rate swap. An investor makes a swap reversal in order to close the position in the interest rate swap she already has.
References in periodicals archive ?
The Swiss National Bank took no other monetary policy actions-for example, engaging in liquidity-providing repurchase operations-to offset these swap reversals.