Search
 

Floating Debut

First floating-rate Treasury notes sold; touted as 'money-market yields without the headaches.'

By Daniel Kruger, Bloomberg, Susanne Walker, Bloomberg | Updated on January 29, 2014

The first U.S. floating-rate notes were sold with a high discount margin of 0.045 percent. The spread over three-month Treasury bills, the security’s benchmark, was the same at 0.045 percent. The bid-to-cover ratio, which gauges demand by comparing the number of bids with the amount of securities sold, was 5.67.

“The sale came extraordinarily well,” said Jim Vogel, head of agency-debt research at FTN Financial in Memphis, Tennessee. “The floaters are money-market yields without the headaches. From the beginning, the floaters have had ‘winner’ stamped all over it. And the securities came at the perfect time.”

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2024 ALM Global, LLC. All Rights Reserved.