A bond whose interest resets every 6 months. It can be perpetual, capped, or minimax. It is used in euromarket lending. It is a medium term debt instrument. It lasts for 5 years and can be classified in many ways.
More On This Topic
Link to This Definition
Did you find this definition of FLOATING RATE NOTE helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary
