March 25, 2023

HELP WITH CHOICE OF BONDS

  • Hello, can I ask you a question about the site of the smart lab, I am a beginner investor and I want simplicity that means At the same time, the first coupon payment for you will be 0.01 rubles, which implies a yield of the first coupon of 0.0%.
    The current yield * of bonds to maturity is 5.88% per annum.
  • The question is how can yield be 5.88 if coupon rates are 0.00 and 0.01?
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