Quality Spread Differential (QSD) arises during an interest rate swap in which two parties of different levels of creditworthiness experience different levels of interest rates of debt obligations. A positive QSD means that a swap is in the interest of both parties.
Read more about Quality Spread Differential: Example
Famous quotes containing the words quality, spread and/or differential:
“The quality of mercy is not strained,
It droppeth as the gentle rain from heaven
Upon the place beneath. It is twice blest:
It blesseth him that gives and him that takes.”
—William Shakespeare (1564–1616)
“[Allegory] should ... be very sparingly practised, lest, whilst the writer plays with his own fancies and diverts himself by cutting the air with his wide spread wings, he should soar out of view of his readers, leaving them in confusion and perplexity to explore his viewless track.”
—Sarah Fielding (1710–1768)
“But how is one to make a scientist understand that there is something unalterably deranged about differential calculus, quantum theory, or the obscene and so inanely liturgical ordeals of the precession of the equinoxes.”
—Antonin Artaud (1896–1948)