What is the meaning of Multiplier?

Multiplier is a factor which can increase the leverage of an instrument such as a floater or inverse floater. While sometimes the multiplier is less than 1. 0, it is usually greater than 1. 0. Multipliers are often seen in structured financings such as CMOs and Over-the-Counter derivatives.

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APABarry Goldsmith. (2010). multiplier. Retrieved September 22, 2026, from http://smartdefine.org/multiplier/definitions/1158638
ChicagoBarry Goldsmith. 2010. "multiplier" http://smartdefine.org/multiplier/definitions/1158638 (accessed September 22, 2026).
HarvardBarry Goldsmith 2010, multiplier, Smart Define, viewed 22 September, 2026, <http://smartdefine.org/multiplier/definitions/1158638>.
MLABarry Goldsmith. "multiplier" 21 October 2010. Web. 22 September 2026. <http://smartdefine.org/multiplier/definitions/1158638>
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