Fixed-rate reset
Also written fixed reset, five-year reset.
A fixed coupon set again at intervals at a benchmark plus a fixed spread.
Definition
A coupon that is fixed but is set again at intervals, usually every five years, at a benchmark such as the five-year Treasury yield plus a fixed spread. Unlike a floating coupon it stays level between resets.
Definitions describe how YieldDesk reads the term. Nothing on this page is investment advice or a recommendation to buy, sell or hold.