1. Valuing BondsChapter Six 2. Bond Terminology Bond• A security that obligates the issuer to make fixed paymentsto the bondholder until the maturity of the bond (fixedincome…

1. 11B Investing Basics and Evaluating Bonds #2 Recall the concept of asset allocation 11-1 2. One Effect of Asset Allocation: A Weighted Total Return 3. Ultraconservative…

Slide 1REVIEW: TIME VALUE OF MONEY SMF Prep Workshop Andrew Chen - OSU Slide 2 This session: The mother of all finance formulas Other TVM formulas Growing Perpetuity Perpetuity…

Slide 1Slapped in the Face by the Invisible Hand: Banking and the Panic of 2007 Gary Gorton Yale and NBER Slide 2 J.S. Gibbons, The Banks of New York, Their Dealers, The…

Slide 17 Interest Rates and Bond Valuation 0 Slide 2 Know the important bond features and bond types Understand bond values and why they fluctuate Understand bond ratings…

Slide 1T1 Bond Features Bond - evidence of debt issued by a corporation or a governmental body. A bond represents a loan made by investors to the issuer. In return for his/her…

T1 Bond Features Bond - evidence of debt issued by a corporation or a governmental body. A bond represents a loan made by investors to the issuer. In return for his/her money,…

Slide 1 1 Valuing Bonds Chapter 6 Fin 325, Section 04 - Spring 2010 Washington State University Slide 2 2 The U.S. bond market is over twice the size of the U.S. stock market…

Slide 1 1 Chapter 7 – Bond Concepts What are they? Types and issuers –Junk –Convertibles –Callables –Asset-backed Credit ratings Calculations –YTM –Price –Current…

Slide 1 T7.1 Chapter Outline Chapter 7 Interest Rates and Bond Valuation Chapter Organization 7.1Bonds and Bond Valuation 7.2More on Bond Features 7.3Bond Ratings 7.4Some…