Face value is the amount that is to be paid to an investor at the maturity date of the security. Debt securities can be issued at varying face value, however in India they typically have a face value of Rs.100. The face value is also known as Repayment amount, Redemption value, Maturity value or Par value, Principle value or simply Principle.
Sunday, February 6, 2011
Coupon
The rate of interest paid on a debt security as calculated on the basis of security's face value.
Coupon Frequency
Coupon payments are made at regular intervals throughout the life of a debt security and may be quarterly, semi-annual (twice a year) or annual payments.
Accrued Interest
The accrued Interest interest on a bond is the amount of interest accumulated in a bond since the last coupon payment. The interest has been earned, but because the coupons are paid only on coupon dates, the investor has not gained the money yet. In India day count convention on G-Secs is 30/360.
Wednesday, February 2, 2011
Letter of dedication
Hello this is Ankit Raghuvanshi a student of Ambition Academy Bhopal. Ambition Academy is a training institute of IAS. I hereby dedicate this blog to my teacher Mr Rahul Sharma. He is a director of Ambition academy. I honestly believe he is a wonderful teacher. I have created this blog for a discussion forum purpose. The IAS aspirants all over the country can discuss any topic over here and if any non conclusive issue emerges i will discuss it with Mr Rahul Sharma and publish his answers over here. I by myself will publish several topics over here.
Thank You....
Thank You....
Subscribe to:
Posts (Atom)