#bonds #finance #yield-to-maturity
Face Value, also known as the "par value", is the amount a bond holder will be paid when it matures
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Yield to Maturityvalue (PV) of the cash flow generated by the bond equal to the price. Yield to maturity is widely used by investors as a way to compare bonds with different face values, coupon payments, and time till maturity.
Yield to Maturity Terminology
<span>Face Value, also known as the "par value", is the amount a bond holder will be paid when it matures. For example, a zero coupon bond with a $1000 face value and one year to maturity means that in exactly one year, the bond holder is entitled to $1000 from the issuer.
Coupon rate is th Summary
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