floor


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Floor

The area of a stock exchange where active trading occurs. Also the price at which a stop order is activated (when the price drops low enough to activate such an order). In context of interest rates, a level which an interest rate or currency is structured not to go below. In context of OTC interest rate options, a series of interest rate put options, where the buyer of the floor guarantees a minimum interest income

Floor

1. See: Exchange floor.

2. The lowest price or some other limit that can occur. For example, in an adjustable-rate mortgage, the lender will often specify a floor for the interest rate, which means that even though the interest rate on the mortgage changes from time to time, it will never drop below the specified floor. These exist to protect one or both parties to a contract or investment. See also: Ceiling, Collar.

floor

The area of an organized exchange where securities are traded. Customer orders are transferred to the floor, where they are executed by members of the exchange.

floor

Other than the obvious, refers to the bottom of something. Variable-rate mortgages may provide a minimum interest rate,called a floor,even if the rate would otherwise be less if the index dropped. Percentage leases with rent partially based on gross revenues might have a minimal amount,or floor payment.

References in classic literature ?
This floor was half an inch deep with blood, in spite of the best efforts of men who kept shoveling it through holes; it must have made the floor slippery, but no one could have guessed this by watching the men at work.
If my reasoning powers had not been already sapped dry by my harassments, I would have known better than to try to set an umbrella on end on one of those glassy German floors in the dark; it can't be done in the daytime without four failures to one success.
There was heaps of old greasy cards scattered around over the floor, and old whisky bottles, and a couple of masks made out of black cloth; and all over the walls was the ignorantest kind of words and pictures made with charcoal.
The high ceiling, once finely carved and gilt, was foul with dirt and cobwebs; the naked walls at either end of the room were stained with damp; and the cold of the marble floor struck through the narrow strip of matting laid down, parallel with the windows, as a foot-path for passengers across the wilderness of the room.
She conducted me to a spacious chamber in one of the buildings fronting on the plaza, and which, from the litter of silks and furs upon the floor, I took to be the sleeping quarters of several of the natives.
Then he dropped upon his hands and knees and examined the floor.
And the raven, never flitting, still is sitting, still is sitting On the pallid bust of Pallas just above my chamber door; And his eyes have all the seeming of a demon's that is dreaming, And the lamp-light o'er him streaming throws his shadow on the floor; And my soul from out that shadow that lies floating on the floor Shall be lifted -- nevermore!
On the floor above lay one of those large paper darts which boys throw at each other when the schoolmaster is out of the room.
He ran about the room, now here, now there, barking loudly; but Dorothy sat quite still on the floor and waited to see what would happen.
Over the seat of the chair Tess's face was bowed, her posture being a kneeling one in front of it; her hands were clasped over her head, the skirts of her dressing-gown and the embroidery of her night-gown flowed upon the floor behind her, and her stockingless feet, from which the slippers had fallen, protruded upon the carpet.
The trend of the tunnel I had been traversing had been slightly upward, and from this I judged that the chamber into which I now found myself looking must be either on the first floor of the palace or directly beneath the first floor.
Natasha was sitting on the floor of her dismantled room with dresses, ribbons, and scarves strewn all about her, gazing fixedly at the floor and holding in her hands the old ball dress