Sentences with phrase «payment at maturity»

The payment at maturity depends on Simple Reversionary Bonuses announced during the policy term and Final Additional Bonus in the year of maturity.
It provides a good sum of financial protection against death as well as has the option for lump sum payment at maturity.
Interest is not added to your principal amount at the selected frequency unless you have selected interest payment at maturity.
The value of the payment at maturity for option prices between the initial asset price and the trigger price is dependent upon the price of the underlying asset during the observation period.
Since bonds provide a fixed return through interest and a principal payment at maturity, they offer no protection from inflation.
Additionally, a holder of a TIPS bond is impacted by inflation; if inflation rises the holder could receive both higher income and a higher principal payment at maturity (although it should be noted that TIPS typically have lower yields than conventional fixed rate bonds).
The bondholder receives a payment at maturity.
(See the section on Payment at Maturity below.)
Additionally, a holder of a TIPS bond is impacted by inflation; if inflation rises the holder could receive both higher income and a higher principal payment at maturity (although it should be noted that TIPS typically have lower yields than conventional fixed rate bonds).
a bond where no periodic interest payments are made; the investor purchases the bond at a discounted price and receives one payment at maturity that usually includes interest; they have higher price volatility than coupon bonds as a result of interest rate changes
The calculation and timing of the payments at Maturity may be adjusted upon the occurrence of certain special circumstances.

Not exact matches

a type of asset class in which the investments provide a return in two possible forms; coupon paying bonds have fixed periodic payments and a return of principal; zero coupon bonds are sold at a discount, do not pay a coupon, and have a return of principal plus all accumulated interest at maturity
This item will be used when capital lease maturities are presented as gross payments (versus maturities presented at present value).
If you purchase an individual bond with a five year maturity you will receive interest payments for the term of the bond along with total principal repayment at maturity.
At that time, the 10 - year Treasury bond had a duration of just 6 years (due to the very high coupon payments and yield - to - maturity available), while the S&P 500 had an extraordinarily low duration of just 16 years.
Assumes that coupon payments can be reinvested at the yield to maturity.
While each property and project varies, Patch of Land's investments start to accrue interest immediately, which is paid back to investors monthly or quarterly, with a balloon payment of remaining principal and interest at loan maturity.
Their opinions of that creditworthiness — in other words, the issuer's financial ability to make interest payments and repay the loan in full at maturity — is what determines the bond's rating and also affects the yield the issuer must pay to entice investors.
Any payment made on the ETNs, including at maturity or upon redemption, relies on Barclays Bank PLC's ability to satisfy obligations as they come due.
Of course, if you hold individual bonds to maturity, you may be able to ride out price fluctuations, knowing that as long as the bond issuer doesn't default, you will get your principal back at maturity and interest payments along the way.
A bond indenture makes two primary promises: to make generally fixed semi-annual interest payments and to redeem the bond at par value on maturity date.
Continuity of income is another upside for bonds since you are assured of getting your fixed payments and the maturity payment at the end of the term.
Because bonds pay a fixed payment until maturity, inflation will slowly eat away at the value of that payment.
Bonds pay investors interest in the form of coupon payments and offer full principal repayment at maturity.
With most types of bonds the interest payments and the amount you receive at maturity are both fixed over the life of the bond.
They are typically structured like other bonds with regular coupon payments and a return of principal at maturity.
If you want access to your CD, you can withdraw interest payments at any time, penalty - free, but you can't withdraw the initial deposit prior to maturity without getting penalized.
They are typically structured like other bonds with regular coupon payments and a return of principal at maturity.
If at maturity the inflation - adjusted principal is less than the par amount of the security (due to deflation), the final payment of principal of the security by Treasury will not be less than the par amount of the security at issuance.
At maturity, I will give you your $ X back along with your final payment of $ Z».
Because yield to maturity is the interest rate an investor would earn by reinvesting every coupon payment from the bond at a constant interest rate until the bond's maturity date, the present value of all the future cash flows equals the bond's market price.
Yield to maturity assumes that all interest payments are received from the date of purchase until the bond reaches maturity, and that each payment is reinvested at the same rate as the original bond.
At maturity, the lender receives the principal along with a final coupon payment.
For terms of 1 year or more, simple interest is paid when you select the monthly, quarterly, semi-annual or annual interest payment option; or, compound interest is calculated annually and paid at maturity
Reinvestment risk is more likely when interest rates are declining and affects the yield to maturity of a bond, which is calculated on the premise that all future coupon payments will be reinvested at the interest rate in effect when the bond was first purchased.
If the customer does not select a specific interest payment option, the interest will be credited to the account quarterly in all cases of the 91 Day and 182 Day accounts, which will be paid at maturity.
However, many borrowers choose to enjoy the benefits of having no monthly mortgage payments with the understanding that, at loan maturity, proceeds from the sale of the home will be put towards repayment of the loan balance in full.
a type of asset class in which the investments provide a return in two possible forms; coupon paying bonds have fixed periodic payments and a return of principal; zero coupon bonds are sold at a discount, do not pay a coupon, and have a return of principal plus all accumulated interest at maturity
Municipal bonds are typically structured to make regular, specified interest payments and then return the principal amount at maturity.
The rates shown are for at - maturity interest payment options and may change without prior notice.
1 The rates shown are for at - maturity interest payment option and may change without prior notice.
In an additional example, assume an investor is looking at purchasing one of two corporate bonds, each with the same coupon payments and time to maturity.
A mortgage loan with initially low - interest payments, but that requires one large payment due upon maturity (for example, at the end of seven years).
Add - on Method A method of paying interest where the interest is added onto the principal at maturity or interest payment dates.
These bonds don't make periodic interest payments and will only make one payment (the face value) to the holder at maturity.
When you invest in a bond and hold it to maturity, you will get interest payments, usually twice a year, and receive the face value of the bond at maturity.
(A balloon payment is a lump sum payment for the remaining balance due at maturity).
The market price of a bond is the present value of all expected future interest and principal payments of the bond discounted at the bond's yield to maturity, or rate of return.
In order for an investor to actually receive the expected yield to maturity, she must reinvest the coupon payments she receives at a 10 % rate.
Bonds are not necessarily issued at par (100 % of face value, corresponding to a price of 100), but bond prices will move towards par as they approach maturity (if the market expects the maturity payment to be made in full and on time) as this is the price the issuer will pay to redeem the bond.
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