1year maturity

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Unformatted text preview: el would yield a value that incorporates these rights 20 20 Bond A bond is a long­term debt security for which the issuer (who has borrowed certain amount of money) promises to make periodic (annually or semi­annually) interest payments and to pay back the borrowed amount (principal) on predetermined dates. Bondholders are creditors to the issuer and have prior claims to the firm’s earnings and to its assets in the event of liquidation. Most bonds are fixed­income securities because they typically have fixed interest 21 21 Bond­Kazakhstan MEAKAM – government special bonds of Ministry of Finance of Kazakhstan with 10 years of maturity MEIKAM ­ government treasury bonds (MOF)of Kazakhstan indexed to inflation MEKAM ­ government treasury bonds of Ministry of Finance of Kazakhstan with all types of maturity MEKKAM ­ government short­term treasury bonds of Ministry of Finance of Kazakhstan with up to 1­year maturity MEOKAM ­ government middle­term treasury bonds of Ministry of Finance of the Republic of Kazakhstan with from 1­year to 10­year maturities. 22 22 Characteristics of Bond Par Value Par value, also called the face value or maturity value, is the no...
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This note was uploaded on 02/11/2014 for the course FIN 102 taught by Professor Han during the Fall '11 term at Kazakhstan Institute of Management, Economics and Strategic Research.

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