YIELD TO PUT
YIELD TO PUT
Yield to put is the actual return that an investment in a bond will give if it is held till the put date and not the maturity date. Put date gives the investors the right but not the obligation to demand prepayment of principal amount from the Issuer on a predetermined date that falls before the maturity date.
YIELD TO CALL
YIELD TO CALL
Yield to call is the actual return that an investment in a bond will give if it is held till the call date and not the maturity date. Call date gives the issuer the right but not the obligation to repay the principal amount to the investors on a predetermined date that falls before the maturity date.