De-leveraged floaters, Financial Management

Assignment Help:

A floater where the coupon rate is computed as a fraction of the reference rate plus a quoted margin, are known as a de-leveraged floater. The general formula for this kind of floaters is

         Coupon rate = b x (Reference rate) + Quoted margin

Where, b is a value between 0 and 1.

 


Related Discussions:- De-leveraged floaters

Difference international and domestic financial management, How is internat...

How is international financial management different from domestic financial management? Answer:  There are three main dimensions that set separately international finance from

Explain arr and payback, ARR AND PAYBACK (a) Accounting rate of retur...

ARR AND PAYBACK (a) Accounting rate of return (ARR) is a computation of the return on an investment where the annual profit prior to interest and tax is expressed as a percen

Capital, Additional Paid in Capital - Amounts paid for stock in excess of ...

Additional Paid in Capital - Amounts paid for stock in excess of its PAR VALUE or STATEDVALUE. Furthermore, other amounts paid by stockholders and charged to EQUITY ACCOUNTS other

Money market mutual funds (mmmfs), Since the operations in the money ...

Since the operations in the money market are dominated by institutional players, the retail investor's participation in the market seems to be limited. To overcom

Case study, Suggestion regarding Credit limit. Should it be approved or not...

Suggestion regarding Credit limit. Should it be approved or not, what should be the amount of credit limit that electronics give to Booth Plastics.

Economics, a) Define monetary policy, and discuss the operation of monetary...

a) Define monetary policy, and discuss the operation of monetary policy in the United States post-GFC.

Define flotation costs affect cost of raising that capital, When a company ...

When a company issues new securities, how do flotation costs affect the cost of raising that capital? While a company issues new securities flotation costs raise the cost of rais

Cash flow of reverse convertibles, (a) Let's presume that the firm may defa...

(a) Let's presume that the firm may default only on last coupon payment date and that when this take place stock price would be less than some predetermined price K at the expira

Are there any ways to analyze and value seasonal businesses, Are there any ...

Are there any ways to analyze and value seasonal businesses? Seasonal businesses can be valued by discounting flows using annual data, but this needs some adjustments. The righ

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd