Reset Margin

Filed Under » , ,
Dictionary Says

Definition of 'Reset Margin'

The difference between the interest rate of a security and the index on which the security's interest rate is based. The reset margin will be positive, as it is always added to the underlying index. This feature is most common with a floating-rate security. The reset margin is added to a reference rate, such as LIBOR, for floating rate obligations.
Investopedia Says

Investopedia explains 'Reset Margin'

For example, the interest rate of a floating-rate note is based on LIBOR plus 0.5%. The 0.5% is the reset margin, meaning that if LIBOR is 1% then the interest rate on the note is 1.5%. Banks can borrow money at LIBOR and, in order to realize profits on loans, will add the reset margin when lending funds.
Search results for

'Reset Margin'

  • Has Greif Reset Expectations?

    http://stocks.investopedia.com/stock-analysis/2011/Has-Greif-Reset-Expectations-GEF-BLL-IP-SI1213.aspx
    ... Has Greif Reset Expectations? ... Gross margin fell more than two and a half points,
    with the industrial business showing the worst performance. ...

  • Hewlett-Packard Presses The Reset Button

    http://stocks.investopedia.com/stock-analysis/2011/Hewlett-Packard-Presses-The-Reset-Button-HPQ-AAPL-ORCL-IBM-DELL-EMC-CAJ-LXK1124.aspx
    ... Hewlett-Packard Presses The Reset Button. ... Gross margin dropped nearly four points
    from last year and over two points on a sequential basis, in GAAP terms. ...

  • UNFI - Everything Is Right But The Price

    http://stocks.investopedia.com/stock-analysis/2011/UNFI---Everything-Is-Right-But-The-Price-UNFI-SYY-WFM-SWY-SVU-KR-NAFC1201.aspx
    ... to focus operations on generating more revenue from existing high-margin customers
    or ... good growth here, but getting out ahead of that valuation reset, will be ...

  • Has Analog Devices Made It Through The Worst?

    http://stocks.investopedia.com/stock-analysis/2011/Have-Analog-Devices-Made-It-Through-The-Worst-ADI-LLTC-MCHP-ONNN-ATML-ALTR-FCS-AVGO-CAVM1124.aspx
    ... comparisons, and the company saw about four points of operating margin erosion ... The
    real question is whether customers have basically reset inventories and order ...

  • Collective Brands Might Be Worth The Wait

    http://stocks.investopedia.com/stock-analysis/2011/Collective-Brands-Might-Be-Worth-The-Wait-PSS-BWS-NKE-KSWS-FL0526.aspx
    ... price through a reversed cash flow model suggests that the market believes the company
    will reset back to its long-term average cash flow margin (about 3.5% of ...

  • CFA Level 1 Study Guide - Derivatives - Fundamental Differences ...

    http://www.investopedia.com/exam-guide/cfa-level-1/derivatives/fundamental-differences-between-futures-forwards.asp
    ... Market Structure; 12.5 Exchange Market Characteristics; 12.6 Short Selling;
    12.7 Buying on Margin and Maintenance Margin; 12.8 Effects ...

  • CFA Level 1 Study Guide - Fixed Income Investments - Pricing Bonds ...

    http://www.investopedia.com/exam-guide/cfa-level-1/fixed-income-investments/pricing-bonds.asp
    ... Market Structure; 12.5 Exchange Market Characteristics; 12.6 Short Selling;
    12.7 Buying on Margin and Maintenance Margin; 12.8 Effects ...

  • Diageo Standing Out In A Dispirited Market

    http://stocks.investopedia.com/stock-analysis/2011/Diageo-Standing-Out-In-A-Dispirited-Market-DEO-BUD-HINKY.PK-CEDC-STZ-KO-PEP0826.aspx
    ... Constellation Brands (NYSE:STZ) is going through a difficult reset as the US ... for
    even better revenue growth next year and ongoing margin improvements (enough ...

  • CFA Level 1 Study Guide - Derivatives - Interest Rate Caps and ...

    http://www.investopedia.com/exam-guide/cfa-level-1/derivatives/interest-rate-caps-floors.asp
    ... Market Structure; 12.5 Exchange Market Characteristics; 12.6 Short Selling;
    12.7 Buying on Margin and Maintenance Margin; 12.8 Effects ...

  • Can Maxim Outgrow Its Cycle?

    http://stocks.investopedia.com/stock-analysis/2011/Can-Maxim-Outgrow-Its-Cycle-MXIM-LLTC-ADI-TXN-ARMH-QCOM-BRCM0125.aspx
    ... There is a risk that this mid-cycle reset could be worse than investors expect ... put
    Maxim into a tough place where it has to choose between margin expansion and ...

Related Articles

Partner Links