The term “yellow sheets” refers to the daily list of corporate bond trading prices that is published by the New York Stock Exchange (NYSE). This list includes the prices at which bonds are trading as well as the bid and ask prices for each bond. The yellow sheets are used by investors to keep track … Read more
A dirty price is the price of a security that includes all interest payments that have accrued since the last coupon payment. The dirty price is the price that is quoted when buying or selling a bond. The clean price is the dirty price minus the accrued interest. What is the bond yield curve? The … Read more
A bond that is issued by a corporation in order to raise capital for working capital or other purposes. The issuer often uses the proceeds from the sale of the bonds to pay off existing debt. Adjustment bonds are typically issued with a face value of $1,000 and have a maturity of five to ten … Read more
A debenture redemption reserve is a fund created by a company out of its profits to redeem its debentures on maturity. The size of the reserve is generally equal to the face value of the debentures to be redeemed. The purpose of the reserve is to provide the company with a source of funds to … Read more
