What is a callable bond what is a putable bond how, Ask an Expert

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What is a callable bond? What is a putable bond? How do each of these features affect their respective market interest rates?

A callable bond may be retired untimely at the discretion of the issuer. A putable can be retired early at the discretion of the investor. A call provision raises the market interest rate and a put provision decreases it.

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Financial Management, Finance

Category:- Financial Management
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