Collateral swap: Difference between revisions

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imported>Doug Williamson
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Revision as of 18:26, 10 August 2016

A collateral swap is an informal name for collateral transformation.

Collateral transformation is a key part of central banks' liquidity insurance role in financial markets.


Collateral transformation allows participating banks to temporarily exchange less liquid forms of collateral, for collateral which is more liquid.


See also