A modification of the Knock-Out Cap. In a Knock-Out Cap, once the trigger rate is reached (i.e. the Knock-Out level), the protection of the cap disappears for that period. With an N-Cap, once the trigger is reached the original cap level is replaced with a second cap level for that period. It is therefore more risk averse than the Knock-Out Cap. The N-Cap is also known as a Dual-Strike or Double Strike Cap.