Equity floor

Definition:

An agreement in which one party agrees to pay the other at specific time periods if a specific stock market benchmark falls below a predetermined level.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Interfund transactions

Financial arrangements effected by payments made from one fund group (either Federal funds or trust funds) to another group.

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