Vanilla Bonds-Corporate Bonds
Define the term Vanilla Bonds regarding Corporate Bonds?
Expert
Vanilla Bonds:
• Such bonds have coupon payments which are fixed for the life of bond, and at maturity, the principal is remunerated and the bonds are retired.
• Vanilla bonds contain no special provisions, and the provisions they do contain are conventional and general to most bonds, like a call provision.
• Payments are generally made annually or semiannually.
• The face value, or par value, for most corporate bonds is of $1,000.
• The bond’s coupon rate is computed as the annual coupon payment (C) divided by the bond’s face value (F).
My Company paid an extremely higher price for the acquisition of other company; the price was recommended through the valuation of an investment bank. Now we have financial problems. So is there any way to make this bank legally responsible for such situation?
John Wong is a fresh graduate and has a limited amount of funds for investments. He expects that the Hong Kong stock market will fall soon but he is not familiar with derivatives. In order to gain more money to buy a car, he explores engaging in Hang Seng Index (HSI)
How could we project exchange rates within order to be capable to forecast exchange differences?
Are there any methods to analyze and to value seasonal businesses?
Why is Split useful?
Who explained the high-peak/fat-tails?
Rusk Inc needs $50 million in new capital that it might obtain by selling bonds at par with coupon of 12% or by selling stock at $40 (net) per share. The current capital structure of Rusk consists of $300 million (face value) of 10% coupon bonds selling at 90 and 10 m
How could we acquire an indisputable discount rate?
Capital Projects: It is a long-term investment made in order to build on, add or enhance on a capital-intensive project. A capital project is any undertaking that requires the usage of notable amounts of capital, together with financial and labor, to
When Markets are expected to be Volatile: For the bear and bull strategy to yield gains, it is essential that the trader takes a view on the direction of the market i.e. either bearish or bullish, and accordingly implement the strategic choice. More o
18,76,764
1947701 Asked
3,689
Active Tutors
1424764
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!