'Spot rate curve' presentation slideshows

Bonds with embedded options

Bonds with embedded options. Callable Bonds. A problem with traditional pricing is that it ignores options imbedded in the bond such as a call option. The call feature increases reinvestment rate risk since the bond will be called if rates are low, especially if lower than the coupon rate.

935 views • 60 slides

Security Analysis and Portfolio Theory

Security Analysis and Portfolio Theory. Lecture 3. Lecture 3 The Analysis and Valuation of Bonds. Questions to be answered: How do you determine the value of a bond based on the present value formula? How do you compute yield to maturity,. The Analysis and Valuation of Bonds.

582 views • 47 slides

Term structure of interest rates

324 views • 15 slides