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Yields on debt securities are affected by credit risk, tax status, liquity and term to maturity....

Yields on debt securities are affected by credit risk, tax status, liquity and term to maturity. Disuss the effect of these factors on the yield of debt securites. Disucss the factors that affect yields on debt securities

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Yields on debt securities are affected by credit risk, tax status, liquidity and term to maturity....
Yields on debt securities are affected by credit risk, tax status, liquidity and term to maturity. Discuss the effect of these factors on the yield of debt securities. Discuss the factors that affect yields on debt securities.
A municipal bond yields 6.75%. A corporate bond on comparable credit quality and maturity yields 9.0%....
A municipal bond yields 6.75%. A corporate bond on comparable credit quality and maturity yields 9.0%. At what marginal tax rate would an investor be indifferent between the two bonds? Based on your answer, explain why investors in the highest tax-bracket are more inclined to invest in municipal bonds than investors in lowest tax-bracket.
What effect does increasing credit risk have on securities? If I'm at the 35% tax bracket...
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Debt issued by Drumpt corporation currently yields 11%. A municipalbond of equal risk currently yields...
Debt issued by Drumpt corporation currently yields 11%. A municipal bond of equal risk currently yields 6%. At what marginal tax rate would an investor be indifferent between the two bonds? Please input the answer in decimal format.
The following table summarizes yields to maturity on several 1-year, zero-coupon securities:
The following table summarizes yields to maturity on several 1-year, zero-coupon securities:SecurityYieldTreasury2.860%AAA Corporate2.892%BBB Corporate        3.107%B Corporate3.950%a. What is the price (expressed as a percentage of the face value) of a 1-year, zero-coupon corporate bond with a AAA-rating and a face value of $1,000? b. What is the credit spread on AAA-rated corporate bonds?  c. What is the credit spread on B-rated corporate bonds?d.  How does the credit spread change with the bond rating? Why?Note: Assume annual compounding.
​Assume that annualized yields of short-term and long-term securities are equal. If investors suddenly believe interest...
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Debt issued by Drumpt corporation currently yields 11%. A municipal bond of equal risk currently yields...
Debt issued by Drumpt corporation currently yields 11%. A municipal bond of equal risk currently yields 6%. At what marginal tax rate would an investor be indifferent between the two bonds? Please input the answer in decimal format.
Assume the​ zero-coupon yields on​ default-free securities are as summarized in the following​ table: Maturity 1...
Assume the​ zero-coupon yields on​ default-free securities are as summarized in the following​ table: Maturity 1 year 2 years 3 years 4 years 5 years ​Zero-Coupon Yields 4.00​% 4.30​% 4.50​% 4.70​% 4.80​% What is the price of a​ three-year, default-free security with a face value of $1,000 and an annual coupon rate of 4%​? What is the yield to maturity for this​ bond?
Assume the​ zero-coupon yields on​ default-free securities are as summarized in the following​ table: Maturity 1...
Assume the​ zero-coupon yields on​ default-free securities are as summarized in the following​ table: Maturity 1 year 2 years 3 years 4 years 5 years ​Zero-Coupon Yields 4.90​% 5.30​% 5.60​% 5.90​% 6.10​% Consider a​ four-year, default-free security with annual coupon payments and a face value of $1,000 that is issued at par. What is the coupon rate of this​ bond? The par coupon rate is
explain interest rate risk or maturity price risk faced by short term and long term investors...
explain interest rate risk or maturity price risk faced by short term and long term investors in bonds using an example
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