Sentences with phrase «until maturity»

Yield that would be realized on a bond or other fixed income security if the bond was held until the maturity date.
If you hold bonds until the maturity date, you will get all your money back as well.
Soon the investor learns that when purchasing bonds they are also not obligated to hold the bond or bonds until the maturity date.
Writing «covered» calls means we will be selling call options on an underlying security that we will actually hold until the maturity of the options contract.
Our only hope is to wait the multiple years until maturity or keep buying to lessen the increasing yield impact to original bond price paid when interest rates were lower.
As a CD, you can not touch the account after your initial deposit until its maturity date.
Few investments are easier to understand than the humble guaranteed investment certificate: you invest a lump sum for one to five years and collect a fixed rate of interest until maturity.
The length of time until the maturity date is often referred to as the term or tenure or maturity of a bond.
Offers a succinct payout when the premium payment periods runs out, as well as a consistent increase in payouts until maturity and a reasonable payout at maturity.
After the account is opened, you may not make deposits into the account until the maturity date stated on the account.
Please be aware that you do not need to wait until maturity of the call option to sell it.
The interest rate for your account will be paid until the maturity date of your certificate.
You may find that you won't get the same return had you kept the policy until its maturity.
Note that if you don't hold the security until maturity you have some price risk as well.
Because bonds pay a fixed payment until maturity, inflation will slowly eat away at the value of that payment.
For example, suppose an investor buys a tax - exempt bond — originally issued at par — in the secondary market at a price of 90 with ten years left until maturity.
First of all, bond yield remains fixed, i.e. you will receive the same coupon over the entire period until maturity.
The High Yield CD is a more traditional CD featuring a fixed term and interest rate until maturity.
We have the ability to hold our fixed income investments until maturity.
Market and interest risk are greater with zero coupon bonds, and interest is taxed in the year earned even though it is not received until maturity.
The plan has a limited premium payment term and at the end of the term, the policy holder starts receiving tax - free guaranteed income until maturity.
A thirty year fixed rate residential mortgage makes a fixed payment each month until the maturity.
Tax on the interest is deferred until maturity and may be eliminated if the proceeds are used to pay for a college education.
In a credit default swap, the buyer of the swap makes payments to the swap's seller up until the maturity date of a contract.
Also, if the child stays in the plan until maturity there is a top - up benefit, which is funded by those who leave early.
The payout is made to the policyholder if they survive until the maturity of the plan.
Figure 2 illustrates a bullet maturity structure, showing interest only payments throughout the loan until maturity.
Also, the future premiums are waived off and the funds remain invested until the maturity.
Generally, the longer until maturity, the bigger the impact of changing interest rate expectations.
Very rarely do bond funds hold bonds all the way until maturity.
Because you can count on a fixed interest yield as long as you hold the CD until maturity, CDs are a great product for secure wealth preservation and income.
Under this benefit, fixed guaranteed additions declared as percentage of sum assured would get added every year to policy after completion of premium term until maturity of policy.
Bonds, meanwhile, pay a fixed coupon until their maturity date.
The limited amount of time until maturity helps minimize the risk that rising interest rates will cause their value to decline.
In nature, healthy plants and animals alike grow bigger until maturity.
Because the money isn't meant to be withdrawn until maturity, banks offer higher interest rates on CDs.
Separate insurance for CDs issued by the acquired bank is maintained until maturity.
There are no insurance benefits involved and investors can not withdraw their money until maturity.
You pay the premiums in the child endowment plan until the maturity of the plan or for a fixed period.
The only difference between them is their length until maturity.
Several of these products do not pay any returns until maturity, which may not be suitable if you need regular income.
Then they tend to return to previous levels (whereas the price decline in an individual bond is locked in, and doesn't go away until maturity).
When purchasing stripped coupons from a cash account, you must declare a portion of the interest every year, even if you do not receive this amount until maturity.
This survival benefit is given after a few years from the start of the money back plan and extends until the maturity of the money back policy.
It is always beneficial to read and understand the benefits you will have if you hold the policy throughout its tenure, i.e. until maturity.
The interest rate applies until the maturity date of the account.

Phrases with «until maturity»

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