Swap

A swap (also called rollover or financing) is the daily interest adjustment applied to any position open past the broker's rollover time — usually 17:00 New York. It reflects the interest-rate differential between the two currencies in the pair. Long a high-yielding currency vs a low-yielding one: positive swap (credit). The reverse: negative swap (charge). On Wednesdays, swap is typically tripled to cover the weekend. Swap-free (Islamic) accounts replace swap with a fixed weekly admin fee or waive it entirely.