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Interest Rate Collar
A financial derivative strategy used to hedge interest rate movements by setting upper and lower limits on interest payments.
Variable Rate Loan
A loan where the interest rate can change over time, based on an underlying benchmark or index.
Floor Rates
The minimum interest rate agreed upon in a financial contract, below which the rate cannot fall.
Put Option
Financial contract that gives the holder the right to sell an asset at a specific price within a specified period.
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