An active portfolio strategy involving the shift of a bond portfolio's composition from one sector to another when the perceived risk of one appears to be greater than the other. A bond issue from two sectors with slightly similar characteristics are purchased in the portfolio and held until the portfolio manager detects a change in the yield spread between the two.
Related information about intermarket spread swaps:
- What is intermarket spread swaps? definition and meaning
Definition of intermarket spread swaps: An active portfolio strategy involving the shift of a bond portfolio's composition from one sector to another when the ...
- Intermarket Spread Swap Definition | Investopedia
Intermarket spread swaps are based upon expectations of yield spreads between different bond sectors or spots on the yield curve. By entering a swap, parties ...
- Intermarket Spread Swaps - Financial Dictionary - The Free Dictionary
An exchange of one bond for another based on the manager's projection of a realignment of spreads between sectors of the bond market.
- Intermarket Surveillance Information System - The Free Dictionary
Intermarket spread swaps · Intermarket Spreads · Intermarket Surveillance Group. Intermarket Surveillance Information System. Intermarket Sweep Order ...
- Intermarket Spread Swap: Definition from Answers.com
Opportunities for intermarket spread swaps exist when there are credit quality or feature differences between bonds. For example, if there is a wide credit spread ...
- * Intermarket spread swap - (Stock market): Definition
Intermarket spread swaps. An exchange of one bond for another based on the manager's projection of a realignment of spreads between sectors of the bond ...
- Chapter Summary
One popular taxonomy classifies active strategies as substitution swaps, intermarket spread swaps, rate anticipation swaps, or pure yield pickup swaps. 8.
- I Definitions: Campbell R. Harvey's Hypertextual Finance Glossary
Intermarket spread swaps: An exchange of one bond for another based on the manager's projection of a realignment of spreads between sectors of the bond ...