Sentences with phrase «company issuing the bonds»

Instead, governments, government agencies and companies issue bonds with zero - coupon rates at a discount to their par value.

Companies issue these bonds as a way to increase company funds to finance major projects.

Citi, JPMorgan and Bank of America will later this year roll out an online platform that will streamline the way in which companies issue bonds and help investors to compare credits.

Companies issue bonds across many maturities, from short - periods of a year to as far out as 99 years.

Conversely, if conditions improved, or under the same conditions ACME company issued bonds with a higher coupon / rate of return, the market might well bid the price of the bond up from its PAR / issuing value, resulting in a lower yield.

If you buy company bonds (or invest in bond mutual funds that do) then it is important to be diversified because one fact that separates company issued bonds from government issued bonds is that governments have the ability to increase taxes and raise more money which companies can not do.

The same concept works for companies issuing bonds.

Thinking of bonds as having sold a put option to the equity, why not look at the amount that the stocks of the companies issuing the bonds had fallen in price since issuance of the bonds?

Trust preferreds come in two flavors: those created by the company issuing the bonds, and those created by a broker - dealer using bonds it buys from the issuer for that purpose.

The companies issuing the bonds are listed in the first column, in this case, the professional basketball team, The Boston Celtics, and the telecommunications company, Pacific Bell.

The bond rating measures the financial strength of the company issuing the bond, and its ability to make interest payments and repay the principal of the bond, when due.

A callable bond is worth less to an investor than a noncallable bond because the company issuing the bond has the power to redeem it and deprive the bondholder of the additional interest payments he'd be entitled to if the bond was held to maturity.

Companies issue bonds to meet their expenditure or to settle out their debts.

The value and risk associated with corporate bonds depend in large part on the financial outlook and reputation of the company issuing the bond.

A company issuing a bond is selling a series of future payments: the regular coupons, and the maturity payment of the face value.

When a company issues bonds, if I buy directly from the company at the time it is being issued, can I hope to buy the bond at par?

The main risk with corporate bonds is that you may not receive interest payments or get your money back if the company issuing the bonds goes out of business.

In return for your money, the company issuing the bonds promises to pay you interest at regular intervals and return the money you've invested on the maturity date.

Where do you stand in relation to other creditors if the company issuing the bonds can't repay its debts?

A company issues bonds to borrow money at an interest rate specified in the bond issuance and makes periodic payments of principal and interest.

When a company issues bonds they have a contractual obligation to pay interest to investors but if they don't have the cash to do so bond holders could be stuck with nothing; affecting both the credit quality of the bonds and their market value.

The main risk is that the company issuing the bonds might go out of business.

For example, you may not get your money back if the company issuing the bonds goes out of business.

Same as a company issuing a bond, the Bank holds my bond and I'm making payments to them.

Do you understand where you would stand in relation to other creditors if the company issuing the bonds couldn't pay its debts?

It should tell you everything you need to know about the company issuing the bonds, what it will do with your money, and the terms of the investment.

If you buy corporate bonds, you are lending money to the company issuing the bonds.

Prospectuses for corporate bonds vary depending on the company issuing the bonds.

On the contrary, corporate bond rates do not reflect risk - free rates, since there is no guarantee that the companies issuing those bonds will be able to make the interest payments stipulated by the bond instruments.