YTM measures the total annual return on a bond if held till its maturity date. Calculation of YTM includes present value, market price, maturity date, and compounding periods. Limitations of YTM ...

One of the dangers of investing in a long-term bond is the potential for it to lose value before it comes due. When you buy a bond, you're essentially lending an entity (such as a company or ...

T-bills are sold at a discount to their face value. They offer returns at maturity without periodic interest payments. With T-bill yields higher in recent years, they can be an excellent, low-risk way ...

Bond investors routinely have to make judgment calls about expectations on future conditions in the credit markets, including changes in prevailing interest rates and inflation. Using a break-even ...

Perpetual bonds have no maturity date, allowing them to pay interest indefinitely, making them appealing for long-term income. They come in different types, such as government and corporate bonds, ...

One of the most popular measures of bond yield is yield to maturity (YTM). Also called book yield or redemption yield, it’s the estimated rate of return an investor can expect from a bond when held ...