Debentures, a common term in the world of finance, represent a type of debt instrument that companies often use to raise money. Unregistered debentures, as the name suggest...
The coupon rate is the fixed interest rate that bond issuers pay to bondholders on a regular basis. This rate is determined by various factors, such as the issuer's credit ra...
A bond is a valuable financial instrument that represents a form of debt. It is commonly issued by companies, municipalities, or government agencies to raise funds for vario...
A crucial aspect of bond investing is understanding callable bonds and the potential risks involved. These bonds have the ability to be redeemed before their intended maturi...
Capital Indexed Bonds, also referred to as inflation-linked bonds, are a type of fixed income security that offers protection against inflation. These bonds have a base paym...
Let's discuss the concept of Cash Management Bills, which are essential tools for managing cash flow in the financial world. These are short-term bonds with a maturity perio...
Accrued Interest is the interest that has accumulated on a bond since the last interest payment date.
A bond's Clean Price refers to its value without including the accrued ...
These instruments are typically debt securities, such as bonds, that offer a fixed rate of return to the investor. This allows investors to receive a steady stream of income ...
A Convertible Bond is a debt security that grants investors the option or obligation to convert the bond into a predetermined number of shares in the issuing company over th...
Convertible debentures are a type of financial instrument issued by companies, which can be converted into shares at a later time. These debentures are known as "convertible...
Corporate Bonds are a type of financial instrument used by companies to raise capital for various purposes such as reinvesting in their operations, acquiring other businesse...
When investing in bonds, it is important to understand the concept of Coupon Rate. This refers to the interest rate that bondholders receive on their investment, which is de...
As a finance expert, it is important to understand the concept of Credit Rating or Bond Credit Rating. This term refers to the evaluation of the creditworthiness of both cor...
This is an essential concept in the world of finance and plays a crucial role in determining the interest rate on a loan. It is important for financial institutions to carefu...
As a professor of finance, it is important to understand the concept of Current Yield. This term refers to the interest rate that an investor earns on the current market pri...
Government securities, also known as G-secs, are an important investment option for individuals and institutions alike. They are essentially loans taken by the government, w...
Debentures refer to fixed-rate bonds issued by companies, with interest payments and principal repayments scheduled on specific dates. Upon redemption, the principal amount ...
These instruments come in different forms such as bonds, loans, mortgages, and certificates of deposits. They are a vital part of the financial market as they provide a means...
When discussing bond prices, it is important to understand the concept of Dirty Price. This term refers to the total price of a bond, which includes both the clean price and...
to raise funds in a foreign market. These bonds are typically denominated in a major currency such as US dollars or Euros, and are not subject to the regulations of the count...
This is also known as the par value or principal amount. It is important to note that the market value of a bond may differ from its face value. Bonds are typically sold at a...
These are issued by corporations and governments to raise funds for various projects and operations. The interest rate on fixed-rate bonds is determined at the time of issuan...
In the world of finance, there is a type of bond known as the Floating Rate Bond. Now, what sets this bond apart from others is its variable interest rate. Unlike traditional...
They have a fixed maturity period and are considered one of the safest investment options.
In the world of finance, there exists a powerful tool known as government bonds. ...
A fundamental concept in finance is the Government Guarantee, also known as Sovereign Guarantee. This refers to the assurance provided by a government to investors, guarante...
In the world of finance, there exists a unique type of bond known as a green bond. While similar to traditional bonds in structure, a green bond stands out due to its specif...
This risk is common in the bond market and is a major concern for investors. Inflation can reduce the purchasing power of the fixed interest payments from your bond, making i...
In the world of finance, there exists a type of security known as Inflation-linked Bonds. These bonds are designed to protect investors from the harmful effects of inflation....
Investment-grade Bonds refer to bonds that possess low credit risk and are assigned high credit ratings. These bonds are considered less risky as they are issued by companie...
These debentures have no fixed date of redemption
Irredeemable debentures are a type of financial instrument that lacks a specific maturity date and are held until the comp...
Liquidity, a fundamental concept in finance, refers to the ability to quickly and efficiently convert assets into cash. As such, Liquidity Risk is the potential for losses w...
It is determined by various factors such as interest rates, credit rating, and time remaining until maturity.
A key concept in the world of finance is the Market Value of a ...
A bond's value is determined by its face value, coupon rate, and time to maturity.
In the world of finance, there comes a time when bonds must be repaid. This is known as th...
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Non-convertible debentures, also known as NCDs, are a type of debt instrument that cannot be converted into equity shares of a company. These debentures are typically issue...
In the world of finance, bonds are often classified based on their credit ratings. Those that fall below the Baa3 or BBB- rating are deemed non-investment grade. This is due ...
, is known as a convertible debenture.
A convertible debenture refers to a type of debt instrument that can be exchanged for company shares at a previously agreed upon price...
Bonds without a set maturity date are classified as perpetuities, as they continue to generate a fixed interest income indefinitely. This unique feature often leads to bonds...
This type of debt instrument is typically used by companies to raise funds without diluting ownership.
A debenture, in the world of finance, is a form of debt instrument th...
Registered debentures are a type of debt instrument issued by a company. The company keeps a record of the details of the debenture holders, such as their name and address, ...
Municipal bonds are a type of financial instrument that can help fund government projects. One type of municipal bond is known as a revenue bond, which relies on the profits...
Secured bonds are a financial instrument used by corporations and governments to raise capital through the issuance of debt. These bonds are backed by collateral or physical...
Debentures, a type of financial instrument, can be divided into two categories: secured and unsecured. Secured debentures are backed by a specific asset, providing security ...
Let's discuss a fascinating topic in the world of finance - SGBs or Sovereign Gold Bonds. These bonds, denominated in grams of gold, serve as an alternative to owning physic...
Debentures with a fixed interest rate are referred to as Specific Coupon Debentures. These financial instruments allow companies to raise capital by issuing bonds to invest...
The interest and principal are paid on the maturity date.
As we delve into the world of finance, it is important to understand the concept of State Development Loans. These...
Government securities are debt instruments issued by the central government with varying maturities. Short-term government securities, also known as treasury bills, have a m...
It takes into account the bond's current price, par value, coupon rate, and time to maturity.
Understanding the yield to maturity (YTM) is crucial for any investor in the b...
These bonds are often used as a means of raising long-term capital for a company or government entity. The difference between the discount price and the face value is conside...
