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floating (variable) interest rate

См. также в других словарях:

  • variable interest rate — Interest rate that is set according to fluctuation in the prime rate; it is a floating rate + variable interest rate A flexible rate of interest which increases or decreases according to current market rates …   Black's law dictionary

  • floating interest rate — n. A variable interest rate that changes based on the money market. The Essential Law Dictionary. Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy Hackney Blackwell. 2008 …   Law dictionary

  • Interest rate swap — An interest rate swap is a derivative in which one party exchanges a stream of interest payments for another party s stream of cash flows. Interest rate swaps can be used by hedgers to manage their fixed or floating assets and liabilities. They… …   Wikipedia

  • Floating Interest Rate — An interest rate that is allowed to move up and down with the rest of the market or along with an index. This contrasts with a fixed interest rate, in which the interest rate of a debt obligation stays constant for the duration of the agreement.… …   Investment dictionary

  • Interest Rate Call Option — An interest rate derivative in which the holder has the right to receive an interest payment based on a variable interest rate, and then subsequently pays an interest payment based on a fixed interest rate. If the option is exercised, the… …   Investment dictionary

  • interest rate swap — An agreement under which two parties agree to exchange or swap a series of payments corresponding to each other s interest payment obligations. See also swap. + interest rate swap USA A type of over the counter derivative (OTC derivative) under… …   Law dictionary

  • Interest rate risk — is the risk (variability in value) borne by an interest bearing asset, such as a loan or a bond, due to variability of interest rates. In general, as rates rise, the price of a fixed rate bond will fall, and vice versa. Interest rate risk is… …   Wikipedia

  • Floating interest rate — A floating interest rate, also known as a variable rate or adjustable rate, refers to any type debt instrument, such as a loan, bond, mortgage, or credit, that does not have a fixed rate of interest over the life of the instrument. Such debt… …   Wikipedia

  • interest rate swap — A financial instrument representing a transaction in which two parties agree to swap or exchange net cash flows, on agreed upon dates, for an agreed upon period of time, for interest on an agreed upon principal amount. The agreed upon principal… …   Financial and business terms

  • Floating-Rate Note - FRN — A note with a variable interest rate. The adjustments to the interest rate are usually made every six months and are tied to a certain money market index. Also known as a floater . These protect investors against a rise in interest rates (which… …   Investment dictionary

  • floating-rate certificate of deposit — FRCD A certificate of deposit with a variable interest rate, normally for interbank lending purposes. Commonly bearing a one year maturity, these certificates have interest rates that may be adjusted (e. g. every 90 days); they are usually… …   Big dictionary of business and management

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