What is the impact on interest rate risk of including a cap and/or floor in the coupon

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What is the impact on interest rate risk of including a cap and/or floor in the coupon structure?

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Introduction To Fixed Income Analytics

ISBN: 9780470572139

2nd Edition

Authors: Steven V. Mann, Frank J. Fabozzi

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Question Posted: Apr 29, 2024 04:00 AM

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What is the impact on interest rate risk of including a cap and/or floor in the coupon

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Including a cap andor floor in the coupon structure of a financial instrument can have an impact on interest rate risk Lets examine the effects of eac...View the full answer

Introduction To Fixed Income Analytics

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