Factors That Affect Interest Rate On Corporate Bonds
| Corporate bonds are usually issued in multiples of $1,500 and/or $5,000. When an investor buys a corporate bond, he is basically lending money to the company. The company, in turn, will pay the investor an interest on the amount of bond purchased, and when the bond matures at a specified date, the principal amount is repaid to the investor.More... |
Corporate Bond And Investor Information
Corporate bond is a debt instrument that is issued by private and public corporations. Usually the bond is issued in multiples of $1,000 and $5,000. These bonds are a way for companies to raise funds for different business purposes like purchasing equipment or expanding business.More...
Does Loan Size Matter In Corporate Bond ?
Usually when a corporate bond issuing company takes a loan, investors use this as a way to assess the company's value and credit rating. Whether this is positive or negative for the company actually depends on different factors like the bank's ability to assess and its reputation in the market.More...
Historical Yields Corporate On Bonds
In order to operate and grow a business, a company always needs an infusion of cash. Usually companies, who want to expand, upgrade their equipment or make capital expenditures, have three options in front of them to raise money. One is that they can issue shares of the company, they can take a loan from a bank or they issue bonds and borrow money from investors.More...
Why Buy Corporate Bonds ?
Any company that wants to grow its operations needs funding. One of the best ways for these companies to get funding is by issuing corporate bonds. These bonds are issued in denominations of $1,000 and/or $5,000 and are basically loans that the company takes from the investors. The denominations mature at a specified date and until such time; the company pays interest on to the investors. Once the bond matures, the principal amount is returned to the investors.More...
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