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What else can I help you with?
Why is the remaining time to maturity an important factor in evaluating the impact of a change in yield to maturity on bond prices?
The longer the time period remaining to maturity, the greater the impact of a difference between the rate the bond is paying and the current yield to maturity (required rate of return). For example, a two percent ($20) differential is not very significant for one year, but very significant for 20 years. In the latter case, it will have a much greater effect on the bond price.
How much are Zippo James Bond lighters now days?
There is no going rate for this, your best bet is to check on EBay or a similar auction site.
What is volume and rate considered when delivering a brief?
The area of consideration when delivering a brief of volume and rate is a verbal consideration. This is such because delivering a brief is oral.
What is the import duty rate on wine?
In UK for table wine for this is £9.63 for a case of 6 bottles or £19.26 for a case of 12. This was set at the last budget April 2009 and does not include cost to remove wines from bond.
What is Government of India Bonds?
The best I could do is ask you to look at the Government bond list. Many countries such as India issue bonds or simple an IOU http://investment-income.net/rates/government-bonds-rate-page
In what format are bond quotes stated?
Bond quotes are typically stated in terms of a percentage of the bond's face value, along with the bond's maturity date and coupon rate.
What are Bond Premiums and Discounts?
Bond premiums refer to bonds that are issued at a price above its face value. for example, if the market rate for a bond is 8% and the stated rate on the bond is 9% then it would be a premium bond. Bond discounts refer to bonds that are issued at a price below its face value. For example, if the market rate for a bond is 9% and the stated rate on the bond is 10%, then it would be a discount bond.
What occurs when a bond's stated interest rate is greater than the market interest rate?
The bond's price will be in premium, meaning exceed 100
Who determines the rate of interest paid on a bond?
Bonds have a predetermined rate of interest called the stated or contract rate, which is established by the board of directors.
What occurs when a bond's stated interest rate is less than the market interest rate?
Since the current market interest rate is higher, it is more attractive to a new investor then the bond with a lower interest rate. Thus, the price of the lower interest rate bond has to decline to be competitive with new bonds in the market.
A 6-year Circular File bond pays interest of 80 annually and sells for 950 What are its coupon rate current yield and yield to maturity?
Bond Pricing. A 6 year circular file bond pays interest of $80 annually, and sells for $950. What are its coupon rate, Current yield, and yield maturity?
What happens When a bond sells at a premium?
When a bond sells at a premium, it means it is sold at a price higher than its face value. This indicates that the bond's interest rate is higher than the current market interest rates. Investors pay a premium to secure a higher yield, which results in a lower effective yield compared to the coupon rate.
When a bonds stated interest rate is less than the market interest rate is it at a discount or premium?
When a bond's stated interest rate is less than the market interest rate, it is sold at a discount. This is because investors are less willing to pay the full face value for a bond that offers lower returns compared to prevailing rates. As a result, the bond's price falls below its par value to make it more attractive to potential buyers.
How would you define the market rate for a bond?
The actual interest rate, however, determined at auction, is referred to as the market rate. The market rate may equal the stated rate, or it may be higher or lower.
Why is a bond with a higher interest rate often considered a higher risk investment?
Bonds with a higher interest rate are often considered a higher risk investment because when interest rates rise, bond prices fall; conversely, when rates decline, bond prices rise. The longer the time to a bond's maturity, the greater its interest rate risk.
What occurs when a bonds stated interest rate is less than the market interest rate?
Since the current market interest rate is higher, it is more attractive to a new investor then the bond with a lower interest rate. Thus, the price of the lower interest rate bond has to decline to be competitive with new bonds in the market.
If the federal sells a treasury bond to a bank what will be the effect on the interest rate the bank charges its customers for a loan?
The interest rate will increase since there are fewer available funds for the bank to loan.
