Steepener
noun
noun ·Rare ·Advanced level
Definitions
Noun
- 1 A trade whose terms are based on the assumption that the rate of return will increase.
"Steepeners are one example where cashflows are computed as difference between two swap rates, e.g. the 10 years and the 5 years. As the name of instrument suggests, this gives a view on the steepness of the swap curve."
Synonyms
All synonymsExample
More examples"Steepeners are one example where cashflows are computed as difference between two swap rates, e.g. the 10 years and the 5 years. As the name of instrument suggests, this gives a view on the steepness of the swap curve."
Etymology
From steepen + -er.