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Bond is a security that pays a given amount of interest to the investor, time after time, until it is finally retired by the issuing body. A bond has a face value, this value is usually $1,000 per bond in the U.S. The bond almost always has a stated maturity, which is the time company or issuing body is obligated to pay the bondholder the face value of the instrument. Then there is the coupon rate or nominal annual rate of interest which is stated on the bond's face. For example, if the coupon rate is 14% on a $1,000 face value bond the company or issuing body pays the holder $140 each year until the bond matures.
Yield To Maturity
YTM is the investor's rate of return at which Par Value is the same as present value of sum of interest payments plus present value of Par Value. Read more
Yield To Call
YTC is the investor's rate of return at which Par Value of a Callable bond is the same as present value of sum of interest payments plus sum present value of Par Value and 1 year's interest payment. Read more
Municipal Bonds
Issued by city and town municipalities in major cities U.S. and those in Western European E.U. member states
Euro Bond
Unlike the name suggest, a bond that is denominated in a currency not native to the issuing country
Corporate Bond
Issued mostly by major U.S. corporations and multinational corporations ---