A bond's value is determined by its face value, coupon rate, and time to maturity.
In the world of finance, there comes a time when bonds must be repaid. This is known as the Maturity Date, a crucial concept to understand in the field of finance. Bonds, which can range from short to long term, have a pre-determined value that must be repaid to the bondholder by this date. This value is determined by the bond's face value, its coupon rate, and the time it takes to reach maturity. Understanding these factors is essential for making informed decisions in the world of finance.
