A single component of a quanto floor. In other words, it is a floor whose payout is payable in a given currency, while its premium is denominated in another. A floorlet is an interim floor component in a multi-period floor agreement. For example, a 3-year quanto floor may be composed of 6 quanto floorlets each of which covers a 6-month period. A given quanto floorlet may give the holder the right to receive the difference (in a currency other than the one in which its premium is denominated) between the strike and the spot rate if it is positive, or zero otherwise.