6.5 Typical Uses of an Interest Rate Swap Converting a Converting an liability from investment from fixed rate to fixed rate to floating rate floating rate -floating rate to -floating rate to fixed rate fixed rate Options, Futures, and other Derivatives, 5th edition 2002 by John C. HullOptions, Futures, and Other Derivatives, 5th edition © 2002 by John C. Hull 6.5 Typical Uses of an Interest Rate Swap • Converting a liability from – fixed rate to floating rate – floating rate to fixed rate • Converting an investment from – fixed rate to floating rate – floating rate to fixed rate