Bonds are investment vehicles that make regular coupon payments until maturity, at which time the bond's face value is paid. If a bond is callable, the issuer of the bond may terminate the bond's ...
There is a lot more to investing in bonds than simply looking at the stated, or coupon, interest rate. Many bonds are callable, which means that the issuing company has a right to buy the bonds back ...
Nick Lioudis is a writer, multimedia professional, consultant, and content manager for Bread. He has also spent 10+ years as a journalist. Yarilet Perez is an experienced multimedia journalist and ...
Rising interest rates have increased the long-term expected dividends and returns of most bonds and bond funds. There is a simple way to estimate the long-term expected returns of these securities, ...
If a bond is "callable," it means that the issuer has the right to buy the bond back at a predetermined date before its full maturity date. The call could happen at the bond's face value, or the ...
Nick Lioudis is a writer, multimedia professional, consultant, and content manager for Bread. He has also spent 10+ years as a journalist. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA ...
T-bills are sold at a discount to their face value. They offer returns at maturity without periodic interest payments. With T-bill yields higher in recent years, they can be an excellent, low-risk way ...
Modified duration measures price sensitivity to interest rate changes. The calculation for modified duration is relatively straightforward. Modified duration is important for investors in determining ...