The last few weeks have been quite traumatic for us Jamaicans, first we were very shaken up by an earthquake, which followed on the heels of the one experienced in September, then just a few weeks later, we experienced storm like conditions which understandably would have left several of us still feeling traumatized. As I thought about the shocks and the aftershocks, which were felt literally and figuratively, it got me thinking about the shocks experienced in investments.
The investment world has not been immune from shocks, which include the fallout from increased interest rates and its impact on different types of assets. The conflicts...
The National Road Operating and Constructing Company, NROCC 9.375% 2024 Bond is set to make a principal payment to bondholders on November 10th, 2023. You should be receiving roughly 50% of the principal amount you own. Be sure to ask your broker about it and prevent the funds from sitting idly in your account. As investors receive the proceeds from this paydown, it's essential to understand that the current environment is very different from the one they purchased this bond in. It is now possible to get a higher coupon and yield for the same or even lower risk.
**Understanding the Existing NROCC 9.375% 2024 Bond:**
The NROCC 9.375%...
What Are Bonds?
A bond is an IOU in which you, the investor, agree to loan money to a company or government or other known entity - called the Issuer - in exchange for a specified rate of interest over a fixed period of time. Its opposite is a stock, which represents ownership in an...
Apr 03, 2003
Key takeaways
Check the credit rating of the issuer of your bond before you buy
Higher risk bonds offer higher yields. These bonds are rated BB+ and below
Lower risk bonds offer lower yields. They are called “investment grade” and are rated “BBB-” and above.
...Mar 24, 2003
The buying and selling of bonds can be a very simple and straightforward process, but there are a few features that must be understood regarding the calculations.
Face Value:
The face value of the bond can be considered the “principal” value of the loan. It is what the issuer will...
Mar 04, 2003
WHO INVESTS IN BONDS
Today we are going to look at the following two areas: Who are the people or institutions that usually invest in bonds; (and) What are their reasons for doing so?
First, however, we’ll do a quick recap of some of the basic facts about bonds. A bond is a form of I...
Feb 19, 2003
HOW RISKY ARE BONDS?
Last week we established that bonds are fixed interest investments that give higher returns than money market investments and individual investors or institutions that are looking for income and modest growth in the medium to long term investments would find them...
Feb 19, 2003
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