When considering bonds, issuers and investors alike need to consider the coupon rate: the interest paid by the bond. Most bonds pay out coupons on a semi-annual basis, relative to the par (face) value ...

The recent drop in rates has created some interesting situations in the market, especially for lenders. First of all, I'm not aware of any consensus on how to calculate a "current coupon" rate in this ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. Andy Smith is a Certified Financial Planner (CFP®), licensed realtor and ...

An inverse floater’s coupon rate moves inversely with a benchmark rate, adjusting payments as interest rates change. These financial instruments are often issued by governments or corporations to ...

Interest expense for discounted bonds includes amortized discount over the bond's term. Bonds issued at a premium reduce recorded interest expense by amortizing the premium. Bonds sold at face value ...