Tag Archives: Rate

How Does The Bond Issuer Decide On The Appropriate Coupon Rate To Set On Its Bonds?

By External contributor | Published: October 25, 2009
The underwriters are the ones that decide that. If it has been rated by one or more of the rating agencies, the the coupon rate is determined by the length of maturity and the rating. Anything below BBB- is junk and carries a relatively high rating. Past issues will be used to make a determination [...]
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The Stated Interest Payment Divided By The Par Value Of A Bond Is Called The Coupon Rate. True Or False?

By External contributor | Published: October 8, 2009
The stated interest payment divided by the par value of a bond is called the coupon rate. TRUE OR FALSE?
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What Is Coupon Rate And Coupon Payments?

By External contributor | Published: October 5, 2009
This is what i understand so far, hope it correct: Coupon rate: fixed interest rate borrowers must pay to lenders. Coupon payments: Interest paid by bond issuer to investor. Also, i want to know who can issue bonds? (Just government?) What is their advantages of issuing a bond? And who can lent this money? e.g [...]
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What Is The Difference Between Current Yield, Coupon Rate And R?

By External contributor | Published: September 30, 2009
r = interest rate which the coupon payments of a bond are discounted Thanx in advance
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How Does A Company Determine What The Coupon Rate Should Be On A Bond?

By External contributor | Published: September 23, 2009
they usually determine the coupon based on the risk. The higher the risk the higher the coupon.
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