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Do life insurance companies hold their bond securities till to the date of maturity or not?
Wiki User
∙ 15y ago
Almost always, the only situation when they wouldn't is in an emergency to pay claims if their policy reserves were inadequate.
Wiki User
∙ 15y ago
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What does bonded means?
Bonds are the long-term securities issued by the companies. A bond is the obligation to repay the principal along with the interest within a stipulated maturity period. It has low risk when compared to other types of securities.
Does the yield to maturity of a bond decrease as the bond nears maturity?
Nope it doesn't you suck
Why would one need debt securities?
Most debt securities are traded electronically. Debt securities are usually in the form of bonds. They can be a government sponsored bond, corporate bond, or a municipal bond.
What are some well known Surety Bond companies?
There are many Surety Bond companies. Some of the more known companies include American Alternative Insurance Corporation, Federated Mutual Insurance Company and Partner Reinsurance Company of New York.
What is a financial guarantee?
A financial guarantee is a promise made by one party to assume the financial obligations of another party in the event that they cannot fulfill their obligations. It is a form of credit enhancement that provides assurance to lenders or investors that they will be paid back even if the borrower defaults. Financial guarantees are typically issued by banks or insurance companies.
How much is bond insurance?
Bond insurance can vary based on the coverage you recieve. Checkign aroudn with a few companies and getting some quotes can help you figure out what the premium will be for oyu.
What is the maturity date on a bond from 2001?
That would depend on the maturity
Does the yield to maturity represent the promised or expected return on the bond?
The yield to maturity represents the promised yield on a bond
Are insurance companies part of capital market?
Yes, The insurance companies are parting their money in stock/bond market,collected under Unit linked insurance policies and are therefore part of the capital market, no doubt about it.
Order the events in the life of a bond from earliest to latest A bond maturity B bond issue C coupon payment?
1)bond issue 2)coupon payment 3)bond maturity
What is the difference between a callable bond and a retractable bond?
A callable bond is where the issuer has the ability to redeem the bond prior to maturity. A callable bond is where the bond hold has the ability to force the issuer to redeem the bond before maturity. Hope this helps.
Yield to maturity vs yield to call?
Yield to maturity assumes that the bond is held up to the maturity date. This is a disadvantage. If the bond is a yield to call , it can be called prior to the maturity date. Thus, the ivestor should sell the callable bond prior to maturity if he expects that he will earn higer return by doing so (in other words when yeild to call is higher than held to maturity).
