The primary advantage of investing in floating rate bonds is that the bonds will maintain a stable market value within a reasonable limit.

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Floating rate bonds have a variable interest rate which is adjusted periodically based on a benchmark rate. This makes them less sensitive to changes in interest rates compared to fixed-rate bonds. As a result, the market value of floating rate bonds tends to remain relatively stable, providing investors with some protection against interest rate fluctuations.

The Primary Advantage of Investing in Floating Rate Bonds Is