Prudence and Securitisation swap: Difference between pages

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imported>Doug Williamson
(Update to reflect the replacement of the 'prudence' concept with 'neutrality' in international financial reporting standards.)
 
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''Accounting.''  
''Interest rate risk management''.


The accounting practice of recognising income and assets only when they are reasonably certain, whilst recognising expenses and liabilities whenever they are probable.
A securitisation swap is an interest rate swap or a cross-currency interest rate swap undertaken in a securitisation.
 
It is designed to hedge the interest rate risk or currency risk arising from any mismatches between the securities issued and the assets in the securitisation portfolio.




== See also ==
== See also ==
* [[Accounting concepts]]
* [[Cross-currency interest rate swap]]
* [[Accruals concept]]
* [[Interest rate swap]]
* [[Consistency]]
* [[Securitisation]]
* [[Disaggregation]]
* [[Securitisation special purpose vehicle]]
* [[Security]]
* [[Swap]]


[[Category:Accounting,_tax_and_regulation]]
[[Category:Manage_risks]]

Latest revision as of 23:45, 23 January 2024

Interest rate risk management.

A securitisation swap is an interest rate swap or a cross-currency interest rate swap undertaken in a securitisation.

It is designed to hedge the interest rate risk or currency risk arising from any mismatches between the securities issued and the assets in the securitisation portfolio.


See also