Sentences with phrase «bondholder receives»

Absent a default, a bondholder receives a contractual income stream.

The investor as bondholder receives monthly payments (usually on the 15th of each month) that include both mortgage principal and interest.

When the bond matures, the bondholder receives the face value of the bond ($ 5,000 in this case), barring default.

Many investors know that a bondholder receives periodic interest payments from the bond issuer and that principal is usually not due until the bond matures.

The bondholder receives the par value of the bond when the bond reaches its maturity date, meaning the specified period of time is up.

Upon maturity, a zero coupon bondholder receives the face value of the bond.

The bondholder receives a payment at maturity.

Because bondholders receive a fixed interest rate and get paid before stockholders, bonds are safer investments than stocks.

Dividend — A part of a company's profits paid to their shareholders; not the same as the payout bondholders receive when their bonds mature.

The most you could make was $ 100 million, if General Electric defaulted on its debt any time in the next ten years and bondholders received nothing.

Bonds are «low risk» loans where bondholders receive income regardless of the economy or company performance; the main risk that bondholders retain is interest rate risk (that is, the risk that they could have asked for more interest on their loans if they'd loaned at a later date).

For example, when Lehman Brothers declared bankruptcy in 2008, common shareholders received nothing, while bondholders received about 40 cents for every dollar in debt they owned.

Every year, bondholders receive their annual 1099 - INT forms and dutifully report the numbers that are listed there on their tax returns.

In return, bondholders receive regular payments based on a fixed interest rate (known as a coupon) over a specific period — anywhere from a few months to 30 years.

In other words, the bondholders receive a company when in default, but the equityholders hang onto it in good times.

Not exact matches

While shareholders will receive only the slightest of premiums on their 12 - cent share price, the big winners are bondholders, who will recoup a greater share of their loans and not be saddled with stock in an operationally troubled and undercapitalized company.

Remington's bondholders are also providing some of the bankruptcy loan and will receive a stake in the company when it exits bankruptcy.

The government will receive shares at a 25 percent discount to the price at which bondholders will be converted.

The restructuring will hand 90 percent of the company's equity to the Lighthouse bondholders, who also receive a 65 million euro «stub» bond that will rank alongside the company's senior secured bonds.

Bond credit ratings are the equivalent to an individual's credit score and are designed to guage the risk that a bondholder will not receive a portion or all of the interest and principal payments they are due on a bond.

Many individual bondholders believe the implications of interest rate fluctuations don't impact them because they'll receive their principal value on an individual bond if held to maturity.

«FriendFinder has received no such demand or notice from its bondholders.

Every six months (semi-annually), the bondholder would receive a coupon payment of (5 % x $ 100) / 2 = $ 2.50.

Even though the bondholder does not receive interest income, s / he is still required to report the imputed interest on the bond to the Internal Revenue Service (IRS) each year.

From the bondholder's perspective, OID is simply additional interest that the bondholder will receive on the bond, except that it is paid at maturity instead of annually throughout the life of the bond.

If a company, however, runs into financial trouble, bondholders have legal priority to repayment of principal before stockholders receive any payment.

In the event of a company's liquidation, common stockholders have lowest priority and receive assets only after bondholders, preferred stockholders, and other debt holders have been paid in full.

Preferred shares entitle you to a specific amount if the company was to close its doors, but you would only get paid once all bondholders and other creditors have received their share of the assets, which could affect the amount that is distributed.

And, despite the market's liquidity (the ability to buy or sell a security quickly), most retail bondholders purchase their securities with the intent to receive regular interest and hold them until they mature, reducing the potential amount of daily trading activity.

As a bondholder, you receive regular interest payments from the bond issuer.

There is the risk that the issuing company will go bankrupt in the meantime, but bondholders are usually ahead of shareholders when it comes receiving cash from the fire sale of a bust company.

Depending on the terms of the bond, the bondholder also may receive interest payments before the bond matures.

As a result, the bondholders may receive higher long - term yields after only a short period.

Before 1983, bondholders would receive coupons that they would clip and mail in semi-annually to receive the interest payments.

In essence, the higher the rating, the more likely it is that a bondholder will receive his or her principal again when the bond matures.

A bondholder wishing to sell a 30 - year issue in the secondary market may receive less in principal than was initially paid for the security.

As a result of the intervention by the Federal Reserve and the U.S. Treasury, even the bondholders of Bear Stearns stand to receive 100 % repayment of both interest and principal on their bond investments.

Upon the sale, liquidation, or re-privatization of the institution, the bondholders would receive the portion of the proceeds that are not required as regulatory capital.

The asset swap spread (also called the gross spread) is the aggregate price that bondholders would receive by exchanging fixed rate bonds for floating rate bonds using the swaps market, mainly used to reduce interest rate risk.

If the company liquidates, however, common stockholders receive assets only after bondholders, preferred stockholders, and other debt holders have been paid in full.