Why would a firm not issue lets say 20year floating rate bon

Why would a firm not issue let\'s say 20-year floating rate bonds when the yield curve is inverted?

Solution

The yield curves are based on the expectation of the market performance which dictates future interest rates. The inverted yield curve tells the market going to worsen as it goes. This means the firm if issues the floating rate bond for long term it means the price of the bond going to increase more which is not good for the company