Market for Corporate Bonds
Write some point regarding Market for Corporate Bonds.
Expert
Market for Corporate Bonds:
• At the end of year 2007, the amount of corporate and foreign debt exceptionally was $10.1 trillion, making it the second biggest part of U.S capital market. The biggest was the market for corporate equity, with a value of $20.8 trillion. Finally, the market for state and local government debt totaled around $2.1 trillion.
• The biggest investors in corporate bonds are life insurance companies and pension funds, with trades in such market tending to be in much large blocks of securities.
• Less than 1 % of all corporate bonds are traded on exchanges. Most of the secondary market transactions for corporate bonds occur via dealers in over-the-counter (OTC) market.
• Only a small number of net bonds which exist really trade on a single day. As an outcome, the market for corporate bonds is thin as compared to the market for corporate stocks or money market securities.
• Corporate bonds are very less marketable than the securities which encompass higher daily trading volumes.
• The prices in corporate bond market as well tend to be more volatile than securities sold in markets with higher trading volumes.
• The market for corporate bonds is not as proficient as that for stocks sold on the main stock exchanges or highly marketable money market instruments like U.S. Treasury securities.
I need the answers for the midterm exam for FIN6000
Please assist with the attached Data Case assignment
You have joined Zurich Pvt. Ltd as a Finance manager. You are given the following information: Zurich Pvt Ltd. is a diversified manufacturing firm dealing with electrical appliances. In 2012, the firm reported an operating income of Rs. 857.60 million and faced a tax rate of 35% on income. The firm
Working capital requirement: Is a financial term known as WCR, which is used to judge the operational liquidity of the business and it is a part of operational capital. A firm in spite of having a good profitability and assets may not have a good liqu
Does the book value of the debt all the time coincide with its market value?
How can optimal capital structure be calculated?
While banks across the United States and Europe are cutting down their number of branches, the number of bank branches in Hong Kong has increased in the same period. Hong Kong Monetary Authority statistics show the number of bank branches in Hong Kong at the end of 20
Explain merits and demerits of standard market practice to find the volatility as a function of underlying.
Who published a book regarding option formula and risk neutrality?
Ape Car Rental plans to begin its business by buying 10 cars at the average price of $18,000 each, depreciating them entirely over 5 years utilizing the straight-line method. It will rent space in a parking lot for $300 a month, paying the rent in advance every month.
18,76,764
1935421 Asked
3,689
Active Tutors
1422356
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!