What is FLOATING RATE NOTE?

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.

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Related Legal Terms
RANGE KNOCKOUT FLOATING RATE NOTE (FRN), RANGE FLOATING RATE NOTE (FRN), FLOATING RATE NOTE (FRN), PERPETUAL FLOATING RATE NOTE (FRN), INVERSE FLOATING RATE NOTE (FRN), FLOATING RATE BOND, FLOATING-RATE PAYER, FLOATING RATE LOAN, FLOATING RATE CERTIFICATE OF DEPOSIT (FRCD), FLOATING-RATE CONTRACT


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