Interest Rate

In this introductory lecture, we explain the conceptual framework behind ‘Yield To Maturity’ and why it is conceptually different from ‘Flat Yield’.

In the next two lectures, we will further explore the ideas put forward in this lecture, and both price a bond, given a yield to maturity input, and calculate a yield to maturity, given a bond price input.

The full YouTube playlist of Securities Investment 101 lecture videos can be found by clicking here.

Please read our disclaimer.

{ 0 comments }

To help understand how bonds and many financial products are priced, we need to understand the ‘Time Value of Money’.

We discuss the underlying axiom of human action behaviour and motivation which lies under this mechanism, and then explain how present values and future values of money are related, and how to calculate one from the other.

The full YouTube playlist of Securities Investment 101 lecture videos can be found by clicking here.

Please read our disclaimer.

{ 0 comments }

The Four Main Features of a Bond, Lecture 008, Securities Investment 101

June 1, 2013

In this lecture we discuss the four main features of a bond, which are the face value, the maturity or redemption date, the coupon rate, and the issuer name and associated risk rating. Many subsidiary topics pop up along the way, including lots of jargon terms used to describe bonds, the difference of the nature […]

Read the full article →