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D-Peg

April 4, 2022
Exchanges

Midpoint Peg Order

April 4, 2022

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An interest rate floor that is based on the minimum of a reference rate during a previous period of time. The strike can be the reference rate (and hence it is called a flexible lookback floor) or a specific fixed rate (therefore it is known as a fixed lookback floor).

Lookback floors are quite expensive products and can be used to meet specific requirements.

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