FinanceThe Methods for Determining the Value of Convertible Debt The financial accounting term valuing convertible debt refers to the process of determining the cost assigned to these securities at the time of issuance and…
FinanceFeatures of a Bond A bond is a debt investment in which an investor loans money to an entity which borrows the funds for a defined period of time…
FinanceCharacteristics of Convertible Bond A convertible bond gives the holder the right to “convert” or exchange the per amount of the bond for common shares of the issuer at…
FinanceAdvantages and Disadvantages of Financing with Debt Let us have a look at advantages and disadvantages of Financing with Debt: Advantages Utilization of Resources — When a business use debt to finance…
FinanceDifferentiate between Yield to Maturity and Yield to Call Difference between Yield to Maturity and Yield to Call are: Yield to Maturity: Definition: YTM means the interest rate for which the present value of the…
FinanceWhat is Islamic Bonds? Islamic bonds or finance is governed by Islamic rules and principles (Shariah) which, inter alia, prohibit the payment of interest (Riba). Shariah also forbids the…
FinanceWhat is Retail Bonds? A number of so-called retail bonds exist in a number of countries of the world. As the name suggests, they are bonds, i.e. have a…
FinanceDefine Global Bonds Global bonds are bonds that are issued and traded in two or more markets but are denominated in the currency of one of the markets. This…
FinanceDefine Eurobonds Eurobonds are bonds that are issued in countries other than the country of the currency in which they are denominated. For example, the Kenyan government…
FinanceDefine Foreign Bonds Foreign bonds are bonds issued by foreign entities (usually governments and parastatals) in local currency. They are foreign from the point of view of the…