 |
Definition of 'Flip-Flop Note'
A type of fixed-income security that allows its holder to choose a payment stream from two different sources of debt. Flip-flop notes provide investors with two options of return, allowing them to choose the underlying debt with the higher yield for the period.
|
 |
Investopedia explains 'Flip-Flop Note'
For example, a typical flip-flop note could be comprised of a fixed-rated debt and a floating-coupon bond. If the floating interest rate drops below the fixed coupon, the investor can choose to receive income from the fixed-rate debt. Inversely, when the floating rate exceeds the fixed coupon, the investor would switch to the floating-rate debt for income. In this situation, the flip-flop note is similar to a floating-rate bond with an interest rate floor.
|
Search results for 'Flip-Flop Note'
-
http://stocks.investopedia.com/stock-analysis/2011/EMC---The-Best-Company-In-The-Best-Business-EMC-ORCL-IBM-VMW-NTAP-DELL-HPQ1020.aspx
... Investors may want to note that the company is spending more on sales and marketing
to ... A curious flip-flop has occurred in the storage space relatively recently ...
|
|
