Skip to main content

datastreet.in

Indian firms turn to floating-rate debt as interest rate hikes loom

Coupons for floating-rate bonds are priced at a spread over three-month Treasury bill yields and reset quarterly. When rate hikes are expected, these bonds turn more ‌attractive to both ⁠issuers and ⁠investors – companies can borrow at a lower initial cost, while investors benefit from returns that rise over time.

Source :- Markets-Economic Times Read More

Share it :

Leave a Reply

Your email address will not be published. Required fields are marked *