Foreign bonds denominated in U.S. dollars and issued in the United States by foreign banks and corporations. These bonds are usually registered with the SEC. Such as, bondsissued by originators with roots in Japan are called Samurai bonds.
Slang for one billion currency units. Used particularly in currency trading, e.g., for Japanese yen since one billion yen equals approximately US$10 million. It is clearer to say, "I'm a buyer of a yard of yen," than to say, "I'm a buyer of a billion yen," which could be misheard as "I'm a buyer of a million yen."
A municipal bond financing method.
Underwriters in advance refundings add
large markups on US Treasury bonds bought and held in escrow to compensate
investors while waiting for repayment of
old bonds after issuance of the new bonds.
Since bond prices and yields move in opposite
directions, when the bonds are marked up, they
"burn down" the yield, which may
violate federal tax rules and diminishes tax revenues.
The graphic depiction of the relationship between the yield
on bonds of the same credit quality but different
maturities. Related: Term
structure of interest rates. Harvey
(1991) finds that the inversions of the yield curve (short-term rates greater
than long term rates) have preceded the last five US recessions. The yield
curve can accurately forecast the turning points of the business cycle.
The percentage rate of a bond or note if the investor buys and holds the security until the call date. This yield is valid only if the security is called prior to maturity. Generally bonds are callable over several years and normally are called at a slight premium. The calculation of yield to call is based on coupon rate, length of time to call, and market price.