FRN
From Reuters Financial Glossary
(Redirected from Floating Rate Note)
Synonym: Floating Rate Note
A floating rate note is a medium-term debt instrument that pays a variable rate of interest. The coupon is usually a premium to Libor (the London Interbank Offered Rate), the 'riskless' rate at which banks lend to each other, or its local equivalent such as Euribor. For example, the investor is promised a quarterly coupon of 125 basis points over three-month LIBOR
