Any important relationship is a durable bond that goes back and forward in time, and it is often viewed as grossly disloyal not to favor friends and relatives in business dealings.
After all, a mutual fund is always required to buy back your shares but no one is required to buy back your individual bond.
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Some go so far as to say that if a bond is insured and bondholders receive back the par value, no default has taken place, just an unscheduled call.
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What I had not realized, until I saw what David wrote, is that major bond traders when they sell Treasurys back to the Fed on the same day then buy other bonds from other bond dealers.
Spanish and Italian bond yields did back off a bit Wednesday, which is also a clue of anxiety levels in the market place that are not rising.
Still, the foreign-law distinction is also at the heart of why this bond was paid back.
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My reading of all this is that Mr Draghi wants to bring the bond purchasing programme back into the fold.
The company will let you put the bond back to it at par in 2004, which is good if rates rise.
The purpose of bond insurance is to enable municipalities with lower credit ratings to piggy-back on the higher rating of the insurer, lowering their borrowing costs.
The studio is also poised to get back the rights to the James Bond franchise.
However, a report out of the UK showing that money supply is barely moving and a weak bond auction in Italy has put traders back into uncertainty mode.
Another risk is if an investor buys a premium priced bond and the borrower prepays by refinancing or selling the home then the Note is paid back at par and the investor loses the premium.
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Keep in mind that a debt reserve fund is usually created at the time of bond issuance, hence, interest payments out of reserves is nothing more than giving the bondholder back his own money.
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And we started waiving back at them, and suddenly, there was that kind of artistic bond that is just - it's a miracle.
But, maddeningly, the institution that needs to do most the European Central Bank is hanging back even as the pressure on countries like Spain, whose sovereign-bond yields rose to euro-era highs this week, intensifies.
If the answer is yes, then the cash was recently in stock and bond investments and it should go right back in.
Interest on those bonds are paid back to the bond holders through the unlimited taxing powers of the US government, which is what makes them AAA rated.
It calculates an intrinsic value by discounting a stream of future earnings back to the present, using a discount rate that is a function of both Aaa bond yields and the creditworthiness of the target company.
Sure Italy bond yields are now over 6%, but the question is, are they really going to pay that principal back?
Italy is the third-largest economy in the EU. Italian and Spanish bond yields are starting to creep higher again, which is an early clue that the EU debt crisis could be back on the front burner of the market place at some point in the not too distant future.
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