To identify: Yeild to maturity (YTM),yeild to call (YTC) and whether the YTM or YTC is more for the investors. Yeild to maturity (YTM):it refers to the rate of interest earned till the maturity of the bond by the bond holder. Yeild to call:It refers to the rate of interest earned till the bonds are being called,but before maturity of the bond.
To identify: Yeild to maturity (YTM),yeild to call (YTC) and whether the YTM or YTC is more for the investors. Yeild to maturity (YTM):it refers to the rate of interest earned till the maturity of the bond by the bond holder. Yeild to call:It refers to the rate of interest earned till the bonds are being called,but before maturity of the bond.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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To identify: Yeild to maturity (YTM),yeild to call (YTC) and whether the YTM or YTC is more for the investors.
Yeild to maturity (YTM):it refers to the rate of interest earned till the maturity of the bond by the bond holder.
Yeild to call:It refers to the rate of interest earned till the bonds are being called,but before maturity of the bond.
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