Credit Risk: If the issuer is unable to meets its financial obligations, it may fail to make scheduled interest payments and / or be unable to repay
the principal upon maturity.
If you (or your portfolio manager) hold on to your investment, you can enjoy the extra yield from these bonds and get back
your principal upon maturity.
Both types of securities deliver a stream of cash flows to investors; stocks generate free cash flow from their operations and make dividend payments, while bonds make interest payments and / or return
principal upon maturity.
In a passive strategy, the simplest approach to municipal bond investing, the goal would be to find a bond with an attractive yield, hold it, and collect the scheduled interest payments and
the principal upon maturity.
Not exact matches
To raise $ 2 million, CSI sold a series of $ 10,000 bonds to investors paying 4 % interest for five years, with interest calculated semi-annually and
principal and interest paid
upon maturity.
The bonds return the
principal amount
upon maturity and in the meantime pay regular interest, often semi-annually.
Upon maturity, the investor will either receive the current
principal or the original value, depending which one has the highest value.
It works like a conventional certificate of deposit that locks in the
principal amount for a set time frame and is payable
upon maturity.
Just her
principal was returned
upon maturity!
The
principal of the bond — its par value, commonly $ 1,000 per bond — is paid
upon maturity along with the final coupon payment.
Borrower and the
Principal (s) must, jointly and severally, absolutely and unconditionally covenant and agree to pay, indemnify and hold Lender harmless against any and all damage, loss, liability, costs and expenses which Lender may suffer or to which Lender may become subject, plus interest thereon at the After -
Maturity Rate, which arise out of or are based
upon:
Term Mortgage - A non-amortizing mortgage under which the
principal is paid in its entirety
upon the
maturity date.
Usually the amount of
principal due
upon maturity of the loan is significant.
Every balloon mortgage is required to have printed or stamped legend on it stating the
principal balance due
upon maturity.
A balloon mortgage is a mortgage in which the final payment or the
principal balance due and payable
upon maturity is greater than twice the amount of the regular monthly or periodic payment of the mortgage.