Call provision

简明释义

赎回保障

英英释义

例句

1.A call provision can affect the overall yield of a bond investment.

一个提前赎回条款可以影响债券投资的整体收益率。

2.Investors should carefully review the call provision in the bond contract.

投资者应仔细审查债券合同中的提前赎回条款。

3.The bond includes a call provision that allows the issuer to redeem it before maturity.

该债券包含一个提前赎回条款，允许发行人在到期之前赎回。

4.The call provision gives the issuer flexibility to manage debt levels.

该提前赎回条款为发行人提供了管理债务水平的灵活性。

5.Companies may exercise their call provision if interest rates decline significantly.

如果利率显著下降，公司可能会行使其提前赎回条款。

作文

In the world of finance, understanding various terms and provisions is crucial for both investors and issuers. One such term that often comes up in discussions about bonds is the call provision. A call provision is a feature that allows the issuer of a bond to redeem it before its maturity date. This can happen at predetermined times and prices, which are typically specified in the bond's indenture or offering documents. Understanding this concept can help investors make more informed decisions when purchasing bonds.The primary reason for a call provision is to give the issuer flexibility in managing their debt. For example, if interest rates fall significantly after a bond is issued, the issuer may choose to call the bond and refinance it at a lower rate. This can be beneficial for the issuer because it reduces their overall interest expenses. However, this feature can also pose risks for investors. When a bond is called, investors may find themselves having to reinvest their money at lower prevailing interest rates, which could lead to a decrease in their overall returns.Investors should carefully consider the implications of a call provision before investing in callable bonds. These bonds often come with higher yields compared to non-callable bonds to compensate for the additional risk. However, the potential for early redemption means that investors might not receive the expected interest payments for the full duration of the bond. Therefore, understanding the terms of the call provision is vital. Investors need to know when the bond can be called, at what price, and under what circumstances.Moreover, the presence of a call provision can affect the pricing of the bond. Callable bonds generally trade at a discount compared to similar non-callable bonds. This discount reflects the uncertainty that investors face regarding the bond's lifespan. If interest rates decline and the issuer calls the bond, the investor may be forced to reinvest at a less favorable rate, resulting in a potential loss of income.In conclusion, a call provision is an important feature of certain bonds that allows the issuer to redeem the bond prior to its maturity. While this can provide issuers with financial flexibility, it also introduces risks for investors. Understanding the nuances of a call provision is essential for anyone looking to invest in bonds. By being aware of the potential impacts on yield and investment strategy, investors can better navigate the complexities of the bond market and make choices that align with their financial goals.

在金融世界中，理解各种术语和条款对投资者和发行者来说至关重要。一个经常在债券讨论中出现的术语是提前赎回条款。提前赎回条款是一种特性，允许债券的发行者在到期日前赎回债券。这可以在预定的时间和价格下进行，这些通常在债券的契约或发行文件中规定。理解这一概念可以帮助投资者在购买债券时做出更明智的决定。提前赎回条款的主要原因是为发行者提供灵活性以管理其债务。例如，如果在债券发行后利率显著下降，发行者可能会选择赎回债券并以更低的利率再融资。这对发行者来说是有利的，因为它减少了他们的整体利息支出。然而，这一特性也可能给投资者带来风险。当债券被赎回时，投资者可能会发现自己不得不以较低的现行利率重新投资，这可能导致他们整体回报的下降。投资者在投资可赎回债券之前，应仔细考虑提前赎回条款的影响。这些债券通常比不可赎回债券提供更高的收益，以补偿额外的风险。然而，提前赎回的潜在性意味着投资者可能无法按预期的完整期限收到利息支付。因此，了解提前赎回条款的条款至关重要。投资者需要知道债券何时可以被赎回、以何种价格以及在什么情况下。此外，提前赎回条款的存在可能会影响债券的定价。可赎回债券通常与类似的不可赎回债券相比以折扣交易。这个折扣反映了投资者面临的债券寿命的不确定性。如果利率下降而发行者赎回债券，投资者可能被迫以不太有利的利率重新投资，从而导致潜在的收入损失。总之，提前赎回条款是某些债券的重要特性，允许发行者在到期日前赎回债券。虽然这可以为发行者提供财务灵活性，但它也给投资者带来了风险。理解提前赎回条款的细微差别对于任何希望投资债券的人来说都是必不可少的。通过了解对收益和投资策略的潜在影响，投资者可以更好地驾驭债券市场的复杂性，并做出与其财务目标一致的选择。