Deferred call provision is/are defined as The amount by which the call price exceeds the par value of the bond A call provision prohibiting the company from redeeming the bond prior to a certain date A bond that currently cannot be redeemed by the issuer A part of the indenture limiting certain actions that might be taken during the term of the loan, usually to protect the lenders interest A bond that makes no coupon payments and thusis initially proced at a deep discount
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" This refers to a specific feature in a bond's indenture. Show more…
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A callable bond: A. Is generally call protected during the entire term of the bond issue, B. generally will have a call protection period during the final three years prior to maturity. C. may be structured to pay bondholders the current value of the bond on the date of call. D. is prohibited from having a sinking fund also. E. Is frequently called at a price that is less than par value
Chandra J.
Adi S.
A bond's yield refers to the interest payment or payments paid by a bond. A bond issuer is said to be in default if it does not pay the interest or the principal in accordance with the terms of the indenture agreement or if it violates one or more of the issue's restrictive covenants. A bond contract feature that requires the issuer to retire a specified portion of the bond issue each year is called a sinking fund. A bond's call provision gives the issuer the right to call, or redeem, a bond at specific times and under specific conditions.
Madhur L.
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