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Q: Why is makes callable bonds attractive to an issuing corporation?
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When the corporation issuing the bonds has the right to repurchase the bonds prior to the maturity date for a specific price the bonds are?

callable bonds


Why would a corporation issue callable bonds?

because i am boss


Are Municipal Dollar Bonds Callable?

Yes Dollar bonds can be callable


How are callable bonds different from regular bonds?

Callable bonds are similar to regular bonds in many ways. The main different is that callable bonds can be redeemed before the bond has completely matured.


Are bid bonds callable demand?

similar to other forms of surety bonds, bid bonds are callable on demand.


What are the benefits of Callable Bonds?

The benefits of callable bonds is that they are protected in the fact if interest rates drop, which is especially important if one purchases bonds for a long term period.


Bonds are not always categorized as?

callable or convertible.


Will a call provision increase or decrease the yield to maturity at which a firm can issue a bond?

Callable bonds will pay a higher yield than comparable non-callable bonds. Take from answers.com


How do corporations raise cash?

In addition to issuing bonds, corporations may borrow directly from any loan source, such as banks. On occasion, corporations raise needed cash by authorizing and selling additional stock.


What is a callable bond?

Most bonds issued today are "callable," which means corporations can recall them if interest rates rise before the maturity dates.


Is call premium on callable bonds tax deductible in Canada for corporations?

No.


What are the disadvantages of bonds?

To have a bond is to loan money to the issuing corporation. Some risk may occur in having bonds. These are the Inflation risk, liquidity risk and the lower returns.