CFA Practice Question

There are 490 practice questions for this study session.

CFA Practice Question

On each coupon rate reset date of a floater, which of the following does NOT change?
A. Reference rate
B. Quoted margin
C. Required margin
Explanation: The reference rate may change when market interest rates fluctuate. The required margin may change due to changes in the issuer's credit risk, liquidity, tax status, etc. The quoted margin remains the same.

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