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Basic Question 4 of 9

A floater resets its interest rate quarterly at three-month LIBOR plus 0.5%. The 0.5% here is the ______.

A. quoted margin
B. required margin
C. discount margin

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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

calculate and interpret yield spread measures for floating-rate instruments

CFA® 2025 Level I Curriculum, Volume 4, Module 8.