"fair value" is just a financial term meaning "price traded on the open market"[1]. It makes no qualitative judgement about if that price is "fair" in the collo

"fair value" is just a financial term meaning "price traded on the open market"[1]. It makes no qualitative judgement about if that price is "fair" in the colloquial sense. [1] This is trivial to do with equities (top-of-book bid/ask prices are the fair). Currencies are a little trickier because your relationship with the exchange determines the quotes you see. Certainly, currency swaps do have a fair, but defining it is a little trickier.