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To: 1Old Pro

Duration.

Pension funds and insurance companies time their investment so that they can redeem the bond at par.

When the bond matures, it is redeemed at par regardless of market conditions.


29 posted on 08/14/2019 8:28:26 AM PDT by MichaelCorleone (Jesus Christ is not a religion. He's the Truth.)
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To: MichaelCorleone
When the bond matures, it is redeemed at par regardless of market conditions.

Unless it's callable.

30 posted on 08/14/2019 8:30:04 AM PDT by 1Old Pro
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