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When will a bond trade at a premium? Explain. Which bonds will be the most sensitive...

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Finance

When will a bond trade at a premium? Explain.

Which bonds will be the most sensitive to changes in yields?Explain.

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4.2 Ratings (689 Votes)
Bond premium When bond is traded in the secondary market more than its face value There are several reasons why bonds are trading at premium one of the reason is coupon rate of bond is higher    See Answer
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When will a bond trade at a premium? Explain.Which bonds will be the most sensitive to changes in yields?Explain.

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