Bond Yield
On 19th May, 2023, the Reserve Bank of India (RBI) decided to withdraw the Rs 2000 denomination banknotes from circulation.
- The decision is likely to impact bond yields in trading market.
About Bond
- It is a debt instrument that provides investors with a steady income stream via interest payments and repays the principal amount on a pre-defined maturity date.
Bond Yield
- It is the return an investor expects to receive each year over its term to maturity.
- It partially depends on coupon payments, which refer to the periodic interest income obtained as a reward for holding bonds.
- The bondholders receive the bond’s ....
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