Steven Nickolas is a freelance writer and has 10+ years of experience working as a consultant to retail and institutional investors. Amy is an ACA and the CEO and founder of OnPoint Learning, a ...
The accrued market discount is the expected gain to be earned on a discount bond by holding it up until maturity, whereupon it should rise to its face value. This gives investors potential gains.
The carrying value of a bond refers to its face value, plus any unamortized premiums or minus any unamortized discounts. We can quickly calculate a bond's carrying value with only a few pieces of ...
Savings bonds, issued by the U.S. Treasury, represent a safe and secure long-term investment. Each bond's value is influenced by its series (E, EE, I, or others), denomination, and issue date. The ...
When a bond has an interest rate that's higher than prevailing rates in the bond market, it will typically trade at a price higher than its face value. Such a bond is said to trade at a premium, and ...
When buying a bond, yield is one of the most important factors to consider. But calculating yield can vary depending on what the investor does with their coupon payments. Will you pocket them as a ...
If you’re an equity investor, you buy stocks at the current market price and hope they appreciate. For debt investors, it’s the opposite concept. Investors buy bonds based on their face value: the ...