What Does It Mean When a Bond Has a Sinking Fund?

July 7, 2024 No Comments

A: A sinking fund is a means of repaying funds borrowed through a bond issue through periodic payments to a trustee who retires part of the issue by purchasing the bonds in the open market. This provision is really just a pool of money set aside by

What Does It Mean When a Bond Has a Sinking Fund?

July 8, 2024 No Comments

What does market segmentation theory assume about interest rates?

June 30, 2024 No Comments

A: Market segmentation theory states there is no relationship between the markets for bonds of different maturity lengths. MST holds that investors and borrowers have preferences for certain yields when they invest in fixed-income securities. These preferences lead to individual smaller markets subject to supply

What does market segmentation theory assume about interest rates?

July 7, 2024 No Comments

What does market segmentation theory assume about interest rates?

July 7, 2024 No Comments

What does market segmentation theory assume about interest rates?

July 8, 2024 No Comments

What economic factors influence corporate bond yields?

June 30, 2024 No Comments

A: The economic factors that influence corporate bond yields are interest rates, inflation, the yield curve and economic growth. All of these factors affect corporate bond yields and exert influence on each other. The pricing of corporate bond yields is a multivariable, dynamic process in

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