Callable Certificate of Deposit (CD) Definition | InvestingAnswers
Sep 29, 2020 · For example, let's say XYZ Bank issued a CD that paid a 10% rate with a maturity date in 10 years but was callable in five years at 102% of par. Five years from the original …
Fixed Rate Certificate of Deposit (CD) | InvestingAnswers
Dec 29, 2020 · A callable CD is a certificate of deposit that an issuer can “call back” from an investor after a specified protection period, but before the CD matures. Such an investment …
Indexed Certificate of Deposit (CD) - InvestingAnswers
Dec 29, 2020 · There are several ways to calculate an indexed CD’s performance: Participation rate. Let’s say an index sees a gain of 10% and the CD has a participation rate of 90%. The …
YTW -- Yield to Worst -- Definition & Example - InvestingAnswers
Oct 5, 2020 · Let's assume you own a callable bond issued by Company XYZ. The bond has a coupon rate of 5%, $1,000 par value, and maturity of three years. The bond is currently priced …
Death Put Definition & Example - InvestingAnswers
Sep 16, 2020 · A death put is an option added to a bond that gives the bondholder's estate the right, but not the obligation, to sell the bond back to the issuer at face…
Call Protection Definition & Example - InvestingAnswers
Aug 12, 2020 · Call protection is described in a callable bond 's indenture. Callable corporate and municipal bonds usually have 10 years of call protection. For example, let's assume XYZ …
Call Date Definition & Example - InvestingAnswers
Mar 16, 2021 · Assume Company XYZ issues a $1,000 callable bond with a 5% coupon rate and a maturity date of December 31, 2015. The bond's call date is January 1, 2014 and its call …
Provision -- Make Whole Call -- Definition & Example
Sep 16, 2020 · A make-whole call provision is a call provision attached to a bond, whereby the borrower must make a payment to the lender in an amount equal to the net…
YTC -- Yield to Call -- Definition & Example - InvestingAnswers
Nov 22, 2020 · Also suppose this bond is callable in two years at 105% of par. To calculate the yield to call, you simply pretend that the bond matures in two years rather than three, and …
Yield to Call Calculator | Calculating YTC - InvestingAnswers
4 days ago · For example, you buy a bond with a $1,000 face value and an 8% coupon for $900. The bond pays interest twice a year and is callable in 5 years at 103% of face value. Using our …