Discover how negative convexity affects bond prices, key risks, and how to calculate it. Learn why mortgage and callable ...

Callable bonds are a type of bond that the issuer can “call” or redeem before the maturity date. The specifics vary from bond to bond, but callable bonds always have one thing in common — the issuer ...

Learn how a bond put option gives you the right to redeem your principal before maturity, offering flexibility and protection ...

When companies and governments issue bonds, they do so with a specific maturity date attached to the bond. For example, a five-year corporate bond will pay interest for five years before it’s ...

A municipal bond’s embedded call option allows the issuer of the bond to “call” (i.e., pay back) the debt at a date prior to the bond’s final maturity, which allows the issuer to reduce the cost of ...

Many investment options are available to investors using bonds in modern investing. Bonds have emerged as a popular choice, with a staggering 90% of flows into mutual funds and Exchange-Traded Funds ...

Bond investors are used to studying features like yield, maturity and credit quality. But many municipal and corporate bonds throw a curve: a “call” feature that ends the income flow, adding a layer ...

A bond is a loan made by an investor to a borrower typically a government, municipality, or corporation. In return, the borrower pays interest at regular intervals (known as coupons) and repays the ...

The advance refunding of tax-exempt bonds with taxable bonds is the dominant activity in the municipal markets. This is the major driver of the increase in taxable volume. According to a recent report ...

In the vast, complex world of investment, bonds often get sidelined. Yet, they are one of the most critical tools for any investor. Unlike cash, money markets, and certificates of deposit (CDs), bonds ...