Deleveraged Floater
A fixed-income investment with a floating rate tied to a specific index with less than a one for one payback ratio. Investopedia Says:
These investment products are generally linked to different rates like the Fed Fund rate, LIBOR, or Treasury rates. This provides investors with the ability to match the differing cashflows of their assets and liabilities. Related Terms:
Federal Funds Rate
Floater
Government-Sponsored Enterprise - GSE
Inverse Floater
London Interbank Offered Rate - LIBOR
Treasury Note |