# Questions tagged [bond-coupons]

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### 200%+ return in 10 years from…bonds?

I read an article this morning about a million dollar bet Warren Buffett made with a hedge fund that would take 10 years to determine the outcome. They didn't each put down a million dollars, rather, ...
2k views

### Do bonds become more valuable right before a coupon payment?

I'm learning about fixed income for the first time and my understanding is that the value of a bond depends on three major variables: The face value The time to maturity The coupon rate a.k.a. the ...
198 views

### Is the need to issue bonds a telltale sign that the company would have a hard time paying coupons?

Background I'm trying to solidify my understanding of bonds, and I have a question regarding something that's probably very basic. Question Say I have a company and I want to issue some bonds in ...
218 views

### If a bond has a par value of 1000 and a monthly coupon rate of 3.650%, do I get \$36.5 every month until maturity?

I'm looking at bond with CUSIP DSDB66702, which has a monthly coupon rate of 3.650 and a par value of \$1000. If I hold this to maturity will I get \$36.50 every month before taxes?
219 views

### Could someone help me understand bond information?

I'm currently looking at this website for information on Government of Canada bonds. I was just wondering if anyone could tell me when the coupon payments are made (is there only one at maturity?) and ...
151 views

### Question Regarding Bond-Coupon Prices with Partial Period Maturity Date

Question: What would you pay for the following bonds assuming an annual yield rate of 7% based on semi-annual compounding (assume face value = \$100)? A bond with a coupon rate of 6% maturing in 3 ...
957 views

### When short negative yielding bonds, who pays the coupon

Assuming the bond was actually issued with a negative coupon, if you are short (borrowing someone else's bond to sell the bond at a lower price / higher yield) Who pays the coupon? There are at ...
233 views

### Liquidity of U.S. treasury bonds and moving in and out of them before maturity?

I am curious about the liquidity of U.S. treasury bonds. I always hear about how liquid they are. I like the rates of the 30 year treasury bonds but lets say I don't want to park money for 30 years. ...
45 views

### Coupon payment intervals in bond names

Consider the name of a bond: "American Telephone & Telegraph Co. Convertible 4Ā½s, due 1933"ā . I have some questions about the coupon payment interval information contained in the name: ...
305 views

### Coupon Payment Date

For a bond that pays interest semi-annually, is a must for a coupon payment date to fall on exactly the same day? For instance, if the bond matures in June 30, 2025, the coupon payment dates shall be ...
795 views

### compute the price of a 90-day zero coupon bond with a face value of \$100 if the market yield is 6 percent

This is a question from a textbook: compute the price of a 90-day zero coupon bond with a face value of \$100 if the market yield is 6 percent Unless indicated otherwise, assume that 1 year = 365 days,...
63 views

### Net Bond Coupon/Yield

I just wondered on how one can properly get the Net Bond Yield/Coupon given that you had some "trading" that happened. Suppose, I have a group of bonds (say some Treasury bonds). I acquired a 100 Par ...
95 views

### An investor holding an 8% subordinated debenture will receive how much at maturity?

I came across this question in the Wiley Series 7 2020 book: An investor holding an 8% subordinated debenture will receive how much at maturity? a. \$1,000 b. \$1,080 c. \$1,040 d. Depends on the ...
84 views

### How do I find the present value of a bond by discounting each cash flow at a different rate?

Suppose I have a \$100 par value bond that pays \$6 in coupons semi-anually (i.e. \$3 every 6 months). The bond matures in 2 years. There will be a total of 4 cash flows, so the present value calculation ...
86 views

### Moneyfarm (ETF) and Coupons

I am a beginner, I have possessed public debt bonds only, so far. Recently I decided to differentiate my savings on some form of ETF, specifically on Moneyfarm, just to give it a try. Now, I am trying ...
83 views

### Given two similar bonds, is the one with a higher yield to maturity (YTM) always a better investment?

Consider two bonds that have the same issuer, seniority, credit rating, and maturity date. My question is about the comparability of their yield to maturity (YTM): if one bond has a higher YTM the ...