Essay: Yield to maturity and interest rate

Sample Essay

The yield to maturity is just the anticipated rate of return of the long term, interest earning securities if the owner keeps the bonds till maturity. More so, the Yield to Maturity is not usually the paying yield, therefore ought not to surprise the bondholder because in some cases it might be lower than the actual interest rate.

In addition, the actual rate of interest is usually affected by other factors hence it is not normally stationary rather keeps on changing from time to time.  Finally, how the bond varies or sells depends on the relationship between the present interest rate and the Yield To Maturity. The future payouts of an already sold bond are usually known and the only factor that changes is the asking price. By buying a bond at a lower price leads to the yield to maturity rises unexpectedly.

Please order custom research paper, term paper, essay, thesis, dissertation, case study and coursework by clicking on Order Now.




Most Recent Blogs

  • All Post
  • Other Academic Papers
  • Sample Essays
    •   Back
    • Arts
    • Business Studies
    • Health/Medicine
    • Information Technology
    • Politics
    • Education
    • Psychology
    • Social Issues
    • Law
    • History
    • English
    • Philosophy
    • Religion/Theology
    • Science
    • Criminology
    • Environment
    • Sociology

Reach Your Academic Success with Our Professional Writing Assistance

By hiring our essay writers and professional academic writers, you’ll collaborate with experienced professionals, enhancing your academic performance, and gaining access to exclusive bonuses and benefits.

Please note that our experts’ notes are provided exclusively for research and study purposes and should not be forwarded as completed projects. We strongly discourage and do not endorse any form of plagiarism.

Order Custom Writings

© 2023 Essay Barn