Floating-rate bonds are often issued with a floating coupon rate that is tied to LIBOR.

Name: Floating-rate bonds are often issued with a floating coupon rate that is tied to LIBOR.
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Floating-rate bonds typically have a coupon rate that is tied to a benchmark rate, such as LIBOR or the prime rate, which can adjust periodically throughout the life of the bond. This helps to protect the issuer from interest rate fluctuations and can provide investors with a more stable source of income.

Floating-Rate Bonds Are Often Issued with a Floating Coupon Rate