One of the most popular measures of bond yield is yield to maturity (YTM). Also called book yield or redemption yield, it’s the estimated rate of return an investor can expect from a bond when held ...

There is a lot more to investing in bonds than simply looking at the stated, or coupon, interest rate. Many bonds are callable, which means that the issuing company has a right to buy the bonds back ...

T-bills are sold at a discount to their face value. They offer returns at maturity without periodic interest payments. With T-bill yields higher in recent years, they can be an excellent, low-risk way ...

The carrying value of a bond refers to its face value, plus any unamortized premiums or minus any unamortized discounts. We can quickly calculate a bond's carrying value with only a few pieces of ...

If a bond is "callable," it means that the issuer has the right to buy the bond back at a predetermined date before its full maturity date. The call could happen at the bond's face value, or the ...

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One of the dangers of investing in a long-term bond is the potential for it to lose value before it comes due. When you buy a bond, you're essentially lending an entity (such as a company or ...