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Bonds

cds-auctions
Bonds

As ISDA set the date for Greek CDS auction on March 19, my research discovered two new university studies, which discuss the credit default swap settlement auctions. The PDF papers were published in late 2011 and come from Stanford University, London Business School and London School of Economics. The first

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Bonds

Bond holders of Greek debt, who have protected their investment by CDS insurance, might not get paid the money they lost, although ISDA set the CDS auction for March 19 after deciding on a credit event and therefore a trigger for the swaps. So, a $100,000 bond has now incurred

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cds-spread-graph-25000
Bonds

“Hello sir, this is your bank calling regarding the voluntary exchange of bonds, known as PSI exchange. Will you participate and lose 46% 54% of your bond’s value?” That is in short the phone call several private bond holders are receiving from their banks here in Greece the last days. Our

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Bonds

Following Monday’s stock market rally, United States markets opened higher ahead of another meeting of finance ministers in the Euro zone who are coming under pressure to find a permanent solution to the lingering debt crisis in the region, although gains were tempered by a housing report that showed a

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Bonds

US markets were trending higher on Friday on thin volume after closing lower for six days in a row.  Investors snapped up beaten down sectors ahead of the stock market’s 1 pm closing, with technology and financials leading all ten sectors of the S&P 500 higher in early trading. In

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Bonds

The Euro was trading heavily today as both Spanish and Italian sovereign debt forced it to lose the gains that it had made during the Asian market. Traders were particularly concerned about the rising bond yields of both countries which, have been exposed to the positive news of the weekend

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Bonds

Until pretty recently, only financial journalist and the investment community would have heard of the major ratings agencies; Fitch’s, Moody’s and Standard and Poor’s. However, as the sovereign debt crisis has raged in Europe for the past year and a half, these major players in the world of finance have

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Bonds

If the default of Greece was a video game, we would be playing at the final stage just before the Game Over screen! Since Standard & Poor’s gave the country the world’s lowest credit rating this week, the Greek government seems unable to handle the situation. Meanwhile the Euro is

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Bonds

Bond is a type of security that can be said to be somewhat of a loan. A loan is an amount that is borrowed from another party and paid back in full with or without interest. Bonds are similar to loans except that, they are issued by corporations, institutions (both

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Bonds

Understanding premium bonds by sheer definition is easy since they are simply bonds that are worth more than its par value. But if you are not well-versed on the different economic terminologies, buying a bond could be a risky business, unless you fully understand the factors that affect the price

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Bonds

Government bonds are simply bonds issued by the national government and its denomination is of course in the currency of the country where it was issued. Like in the U.S., government bonds are issued by the U.S. Treasury in the value of US dollars while other countries use their own

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Bonds

Bonds are an ideal form of long term investment that can make an excellent addition to any portfolio. Bonds are often useful for people who wish to invest a large portion of money without taking the risks that are inherent in investing in the stock market. Although bonds may not

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