Another name for the spread in a Eurocurrency loan is the _______.
A)drawdown
B)term
C)LIBOR rate
D)Margin

Question

Quizplus · Accepted Answer

The spread in a Eurocurrency loan refers to the difference between the borrowing rate and the benchmark rate, such as LIBOR. This difference is often expressed as a percentage, which is added to the benchmark rate to calculate the borrower's interest rate. The spread is also known as the margin or mark-up. Therefore, the correct answer is D.

Another Name for the Spread in a Eurocurrency Loan Is