What Does Notional Value Mean?

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What does Notional Value mean? Read on to discover the definition & meaning of the term Notional Value - to help you better understand the language used in insurance policies.

Notional Value

Notional Value

the principal value upon which future payments are based in a derivative transaction as at a specific period in time (the "as of" reporting date) in the reporting currency.

We hope the you have a better understanding of the meaning of Notional Value.

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