Derivatives · glossary

Termination Rate

The payee's cost of funds, 2% here. It runs on the close-out sum from the Early Termination Date to the due date. After that, the Default Rate applies to anything still unpaid. Definition: Termination Rate · Chapter 12

Explained in Chapter 12, Close-out: the Number, of Derivatives.

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As defined in the training master agreement
in relation to an amount and the party to which it is payable, the rate per annum that party certifies to be the cost to it of funding that amount;
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