A floating-rate loan has an interest rate that is not fixed and can fluctuate over the loan's tenure. These loans are often tied to short-term market indicators like the London Inter Bank Offered Rate (LIBOR).
A Floating-Rate Note (FRN) is a type of bond with a variable interest rate, often based on the London Interbank Offered Rate (LIBOR), adjusting periodically to reflect market conditions.
A Floating-Rate Note (FRN) is a type of debt instrument with a variable interest rate that adjusts periodically based on a benchmark interest rate, such as the LIBOR or the federal funds rate.
The Inter Bank Offered Rate (IBOR) is the average interest rate at which a selection of banks on the interbank market is prepared to lend to one another.
The amount charged by a lender to a borrower for the use of assets, expressed as a percentage of the principal. It also refers to the earning rate for deposits held in a financial institution.
LIBOR, an acronym for the London Inter Bank Offered Rate, is a benchmark interest rate at which major global banks lend to one another in the international interbank market for short-term loans.
Learn about the London Inter Bank Mean Rate (LIMEAN), its definition, examples, frequently asked questions, related terms, and additional resources.
The London Interbank Offered Rate (LIBOR) is the interest rate that the most creditworthy international banks dealing in Eurodollars charge each other for large loans. Serving as the equivalent of the federal funds rate, LIBOR is often used as a base rate for other large Eurodollar loans issued to less creditworthy corporate and government borrowers.
LIBOR, or the London InterBank Offered Rate, is the rate at which banks offer to lend to each other on the London interbank market. It serves as a global benchmark for interest rates on loans and financial instruments, with terms ranging from overnight to five years.
A type of debt instrument for which the issuer typically has neither the right nor the obligation to repay the principal amount of the debt. Interest is usually paid at a constant rate or at a fixed margin over a benchmark, such as the London Inter Bank Offered Rate (LIBOR).
A Reference Rate is an interest rate benchmark used as a basis for pricing financial products such as loans, mortgages, and derivatives. It is crucial for consistent pricing across financial markets.
A Variable-Rate Note (VRN) is a type of bond with adjustable interest coupons set at regular intervals, reflecting the prevailing market rates.
