Apr 062020
 

An FRN whose floating coupon ‘Kicks-In’ (i.e. changes) to a fixed rate if a certain pre-specified floating rate is reached. It is an example of a ‘Trigger’ structure. Investors buy them to enhance their yield – they do not believe the yield curve. See Trigger.

Today I spent the whole afternoon in meetings, then came out and penned a couple of descriptions. Phew. Time for a run now.

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