However, if the bond’s market price later increases to $1,100, it is trading at a premium. Conversely, if the bond’s market price decreases to $900, it is trading at a discount. However, bonds can trade at different prices depending on various factors such as interest rates, credit ratings, and market conditions. If a bond is […]
Monthly Archives: May 2021
Market value is influenced by various factors, including interest rates, inflation, political stability, and market demand. The term “par” has Latin roots, originating from the word “par,” meaning equal. This equality extends to the realm of finance, where it signifies the equilibrium between a security’s face value and market price. Someone on our team will […]