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structured note
structured note definition - finance
A
bond that includes an embedded derivative (a futures contract or feature) that
is designed to create a payoff that fits the requirements of a specific
investor. A note may be structured to pay interest to the noteholder in the
event that gold prices fall or some other situation occurs. A structured note
also might involve a series of swap agreements in which one note is exchanged
for another after a certain period of time or when a particular circumstance
occurs.
Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
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