Summary of Bond Discounts and Premiums
Summary of Bond Discounts and Premiums
Discount or premium bonds can be used to create unique characteristics to meet your portfolio objectives. When buying or selling bonds, you can take advantage of changing market conditions. Watch for interest rate and credit rating changes to help you make gains on your bond investments. Savvy investors are aware of the basic characteristics of discount and premium bonds, as well as the factors that affect their pricing and their tax consequences.
What You Have Learned
- Basics of Bond Pricing
- Bond Discounts and Premiums
- Factors Affecting Bond Prices
- Zeros: The Ultimate Discount Bonds
- Special Tax Consequences of Discount and Premium Bonds
