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Meaning / Definition of
Floating Security
Categories: Ipos, Mergers and Acquisitions, Investing and Trading,
1. A security which is bought and held in street name with the expectation that it will be quickly resold at a profit. 2. Any part of a new issue which is unsold. 3. Bonds or preferred stocks which pay an interest rate that fluctuates according to a formula or in step with the market interest rate. also called floating rate securities, floaters.
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