convertible floating-rate note

convertible floating-rate note definition - business

convertible floating-rate note

A floating-rate note that gives the holder the option of exchanging it for a longer-term debt security with a specified coupon. Unlike a regular floating-rate note, the convertible feature protects investors against declining interest rates.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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