Skip to main content
Fixed Income Instruments

Call Risk

A crucial aspect of bond investing is understanding callable bonds and the potential risks involved. These bonds have the ability to be redeemed before their intended maturity date, which poses a risk for the bond buyer. This means that the bondholder may earn less than what they had anticipated from their investment, making it a crucial consideration when making investment decisions. Therefore, it is essential to thoroughly assess the callable feature before investing in bonds to minimize the risk factor.

Related terms

Clean Price

Understand the meaning and definition of Clean Price in the context of stock market, trading, and investments.

MORE
Face Value

Understand the meaning and definition of Face Value in the context of stock market, trading, and investments.

MORE
Zero-coupon Bonds

Understand the meaning and definition of Zero-coupon Bonds in the context of stock market, trading, and investments.

MORE
Maturity Date

Understand the meaning and definition of Maturity Date in the context of stock market, trading, and investments.

MORE
Secured Debentures

Understand the meaning and definition of Secured Debentures in the context of stock market, trading, and investments.

MORE
Sovereign Gold Bonds

Understand the meaning and definition of Sovereign Gold Bonds in the context of stock market, trading, and investments.

MORE

Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS

Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Scan this QR code to download the app
Get it on Google PlayDownload on the App Store

Open Free Demat Account!

Join our 3.5 Cr+ happy customers
+91