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User baldorzvzm
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A lot of bonds can be sold by the preliminary shareholder to other financiers after they have actually been released. In other words, a bond investor does not have to hold a bond all the way through to its maturity date. It is also typical for bonds to be repurchased by the borrower if interest rates decline, or if the customer's credit has actually improved, and it can reissue brand-new bonds at a lower expense.
For example, state an investor purchases a bond at a premium $1,090 and another investor buys the very same bond later when it is trading at a discount for $980. When the bond matures, both financiers will get the $1,000 stated value of the bond. is the rate of interest the bond issuer will pay on the face value of the bond, expressed as a percentage.
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