Fixed Income Derivatives

About the Fixed Income Derivatives Trading Desk
Nomura's Fixed Income Derivatives Trading Desk creates over the counter (OTC) financial instruments and risk for a variety of clients. The different functions within this group include: trading, sales, transaction structuring, portfolio management, and model development.

What we trade:

• Interest Rate Swaps
  Where two counterparties (Nomura being one of them) exchange a fixed interest rate and resulting cash flows for a floating interest rate and resulting cash flows on a notional amount of principal. This means the principal amount is used for calculation of the interest flows only and is not exchanged.

• Caps and Floors
  Options, where the buyer or seller receives or pays interest based on the difference between one contract rate on the cap/floor and where that rate is in the market for the life of the transaction.

• Swaptions
  Where the buyer or seller has the right but not the obligation to enter into or cancel an interest rate swap where they receive or pay fixed versus a floating rate.
  

Our Competitive Edge
Nomura has a particular expertise in trading option products. We are more solution and transaction oriented rather than just making a price on a financial instrument for our clients. We look to understand our client's business in order to properly service that client.

Other Services
Nomura's Fixed Income Derivatives Desk will also provide daily commentary, trade ideas, and the ability to download portfolios of cash flows and financial instruments.