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Degenerate Swap
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A swap based on only one forward rate. Essentially, this contract is a forward rate agreement (FRA) or a simple variation on this basic contract. Variations on a standard FRA might include unusual timing or calculation of the payment on one side of the contract. Calling this an FRA or a modified FRA avoids the connotations of the word 'degenerate.' See Forward Rate Agreement (FRA).
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