Warning: Creating default object from empty value in /hermes/bosnacweb04/bosnacweb04ai/b1550/ipg.lantanasolutionsbh98965/fincyclopedia/wp-content/plugins/independent-core/admin/ReduxCore/inc/class.redux_filesystem.php on line 29 Amortizing Bond – Fincyclopedia
[wpdreams_ajaxsearchpro id=44 ]
  • Tuesday, April 29, 2025
  • The Financial Encyclopedia
[wpdreams_ajaxsearchpro id=43 ]

Finance

  Finance   |   Terms
  • 345
  • July 14, 2021
[addtoany]
Notice: Undefined variable: myString in /hermes/bosnacweb04/bosnacweb04ai/b1550/ipg.lantanasolutionsbh98965/fincyclopedia/wp-content/themes/independent/template-parts/post/content-single.php on line 41

Amortizing Bond

A bond that returns principal and interest on a regular basis. It pays a coupon and makes partial repayment of principal to bondholders in installments over a specific period of time. Since principal is repaid over time, the bond’s maturity does not demonstrates the effective maturity of the principal outstanding. The principal amortization means the face value of the bond remains unchanged, but a percentage is applied to the bond price and interest payments in order to account for the decrease in cash the issuer would have to pay.


[related_posts_by_tax title="See also" posts_per_page="10" taxonomies="post_tag"]

[pt_view id=473cba234b]
[su_box title="Watch on Youtube" style="soft" box_color="#f5f5f5" title_color="#282828" radius="2" class="" id=""][su_row class=""][su_column size="1/1" center="yes" class=""] [/su_column][/su_row][/su_box]

Latest Terms

Remember to read our privacy policy before submission of your comments or any suggestions. Please keep comments relevant, respectful, and as much concise as possible. By commenting you are required to follow our community guidelines.

Comments

    Leave Your Comment

    Your email address will not be published.*