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 ...
Bonds are a more complex investment than common stocks as their prices are immediately impacted by things like inflation or general interest rates in addition to business performance. This makes bond ...
Understanding the inverse relationship between bond prices and interest rates can be a little confusing for new investors. However, taking an in-depth look at the various characteristics of bonds, ...
One of the simplest ways to evaluate a potential bond investment is via the bond’s current yield. Bond current yield is a simple measure of what the bond will earn if you buy and hold it for a year ...
Modified duration measures price sensitivity to interest rate changes. The calculation for modified duration is relatively straightforward. Modified duration is important for investors in determining ...
Investing in bonds is often seen as a safe haven for those looking to secure a steady income. Bonds are essentially loans ...
Q. I purchased an I Bond for $10,000 on Dec. 23, 2021, when the interest was 7.12%. Today, it is showing $236 in interest. However, I thought that at that interest rate, it should be $10,000 x 0.0712 ...