floating-rate note

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Related to Floating Rate Notes: zero coupon bond, Libor

Floating-rate note (FRN)

Floating-Rate Note

A bond with a variable interest rate. These bonds typically have coupons renewable every three months and pay according to a set calculation. For example, a note may have an interest rate of "EURIBOR + 1%" and pay whatever the EURIBOR rate happens to be at the time plus 1%. Some FRNs have maximum and minimum interest rates, known as capped FRNs and floored FRNs, respectively. An FRN with both a maximum and a minimum interest rate is called a collared FRN. In the United States, government sponsored enterprises issue most FRNs while banks do the same in Europe. See also: Adjustable-rate mortgage.

floating-rate note

An unsecured debt issue with an interest rate that is reset at specified intervals (usually every six months) according to a predetermined formula. Floating-rate notes usually can be redeemed at face value on certain dates at the holder's option. Floating-rate notes pay short-term interest and generally sell in the secondary market at nearly par value. Floating-rate notes are indicated in bond transaction tables in newspapers by the symbol t. Also called floater, variable-rate note. See also convertible floating-rate note, droplock bond, variable-rate demand obligation, yield curve note.
References in periodicals archive ?
The floating rate notes will bear interest at a floating rate, reset quarterly, equal to three-month LIBOR plus 0.430 percent per annum, payable quarterly on February 1, May 1, August 1 and November 1 of each year, beginning on February 1, 2019.
Investors may be attractive to floating rate notes because they carry very little interest rate risk.
1 PLC: Aaa to GBP 88,900,000 Glass A Floating Rate Notes due 2009; A2 to GBP 12,450,000 Class B Floating Rate Notes due 2009; and Baa2 to GBP 7,100,000 Class C Floating Rate Notes due 2009.
M2 EQUITYBITES-March 20, 2019-Arise amends terms and conditions pertaining to its senior secured green floating rate notes 2018/2021
Global Banking News-March 20, 2019-Arise amends terms and conditions pertaining to its senior secured green floating rate notes 2018/2021
NORDIC BUSINESS REPORT-March 20, 2019-Arise amends terms and conditions pertaining to its senior secured green floating rate notes 2018/2021
The mismatch between the fixed-rate loans (99.8%) and the floating rate notes is hedged through a swap agreement.
The Floating Rate Notes were sold at 100 percent of par and the Fixed Rate Notes were sold at a price of 99.704 percent of par.
EUR400,000,000 Floating Rate Notes due 11 February 2015 (ISIN:
Inc and Avago Technologies Wireless (U.S.A) Manufacturing Inc have redeemed the remaining USD318,496,000 of their 10-1/8% senior notes due 2013 and the remaining USD45,681,000 of their senior floating rate notes due 2013.