Investment Language 101 Series: TERM OF THE DAY: -- What Is: ' A Coupon ' | E.28 | Trading Candle Cheat Sheet Incl. Each Episode.

in #money7 years ago (edited)


A series designed to help all the new people flooding into & entering Crypto/Investments daily who get thrown into the rabbit hole so to speak and everything is new to them.

It is a TLDR / Short Form Series, covering ONLY one thing each episode in blue collar, easy to understand language to give a SHORT OVERVIEW of the term or lesson of the day.

It is specifically designed this way to keep it short and simple.

People can then search out extra info if they wish.

I've never seen a regular series or resource running on Steemit to continually address this basic need so I decided to do it.


TERM OF THE DAY:


What is....

'A Coupon '?

--

The annual interest rate paid on a bond, expressed as a percentage of the face value.

It is also referred to as the "coupon rate," "coupon percent rate" and "nominal yield."

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Breaking Down...

' A Coupon ':

--

For example, a $1,000 bond with a coupon of 7% pays $70 a year. Typically these interest payments will be semiannual, meaning the investor will receive $35 twice a year.

Because bonds can be traded before they mature, causing their market value to fluctuate, the current yield (often referred to simply as the yield) will usually diverge from the bond's coupon or nominal yield. For example, at issue, the $1,000 bond described above yields 7%; that is, its current and nominal yields are both 7%. If the bond later trades for $900, the current yield rises to 7.8% ($70 ÷ $900). The coupon rate, however, does not change, since it is a function of the annual payments and the face value, both of which are constant.

-- Coupon rate or nominal yield = annual payments ÷ face value of the bond

-- Current yield = annual payments ÷ market value of the bond

The current yield is used to calculate other metrics, such as the yield to maturity and the yield to worst.

-- Coupon Bonds:

The term "coupon" originally refers to actual detachable coupons affixed to bond certificates. Bonds with coupons, known as coupon bonds or bearer bonds, are not registered, meaning that possession of them constitutes ownership. To collect an interest payment, the investor has to present the physical coupon.

Bearer bonds were once common. While they still exist, they have fallen out of favor for two reasons. First, an investor whose bond is lost, stolen or damaged has functionally no recourse or hope of regaining his investment. Second, the anonymity of bearer bonds has proven attractive to money launderers. A 1982 U.S. law significantly curtailed the use of bearer bonds, and all Treasury-issued bearer bonds are now past maturity.

Today, the vast majority of investors and issuers alike prefer to keep electronic records on bond ownership. Even so, the term "coupon" has survived to describe a bond's nominal yield.


Trading Candle Cheat Sheet:

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Further Reading/Source/Resources


Friend of the People -- Enemy of the State.

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I am leaving these images I made here until I figure out one that fits properly and looks right for the first/main image for the post/series.

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Since Steemit dev's changed the size of the picture frame that shows, it has honestly been a real problem getting images to match the screen, it was perfectly fine months ago before they messed around with it.

SMH.


Thanks for reading, have a nice day.


PixaBay has tons of free pictures for us all to use!!!
Super Easy/Fast Picture Edits / Resizing at: http://www.picresize.com/ and also https://www298.lunapic.com/editor/







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Some of my recent blogs:

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https://steemit.com/health/@barrydutton/quote-of-the-day-one-day-or-day-one-or-we-never-know-who-may-need-this-today-or-the-replies-in-this-post-too

https://steemit.com/bitcoin/@barrydutton/dec-11-2017-bitcoin-in-canadastan-smashes-past-usd21-000-usdcad-again-usd17-270-usdusd-or-1-year-ago-it-had-just-broken-usd1000

https://steemit.com/colorchallenge/@barrydutton/star-wars-gear-i-found-for-color-challenge-monday-red

https://steemit.com/bitcoin/@barrydutton/snl-saturday-night-live-mentions-bitcoin-this-weekend-multiple-video-links-snippets-included

https://steemit.com/steemit/@barrydutton/steemit-changes-today-did-you-notice-in-your-replies-you-now-have-a-sub-window-that-opens-up-where-you-can-upvote-your-reply

https://steemit.com/bitcoin/@barrydutton/crypto-101-video-wcn-bitcoin-morning-brief-w-jimmy-song-tone-vays-daily-stream-from-today-29-mins-or-bitcoin-morning-brief-w

https://steemit.com/curation/@barrydutton/steemit-needs-series-30-pls-comment-with-your-ideas-to-improve-steemit-or-12-11-2017-or-community-engagement-or-archives-to-help

https://steemit.com/steem/@barrydutton/breaking-warning-bittrex-sbd-wallets-service-appers-to-be-down-disabled-again-in-midst-of-huge-sbd-gains-trading-volume

Most Images: Gif's - via Giphy.com , Funny or Die.com / Pixabay. Today:


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Please note -- I will have limited internet access for awhile -- so PLEASE do not be upset that I cannot reply right away, or to everyone. I am dealing with some changes, and will have limited time online and will be happy if I get a few blog posts up a week.
This has really upset some people but I do not force my opinions on others, or need to communicate every detail of my life or issues, most people do not care anyways. I invested around 10 hours or more a day on Steemit most of my first 13 mths here, trying to build community, put out content and engage people, help and donate to people, and I just do not have that time in my life right now, and that includes for replies and voting/curation.
I have done my best, sorry if you do not understand like some are clearly having a problem with. It's a blogging platform, and I will do my best at everything, and to keep blogging.
Carry On.

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It helps if you spell our names right.

LOL

sorry my friend dear i mistake..please don,t mind..😊

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It is right time for investing in Crypto

Good times!

We are all doing ok being here now.

Thank you for this. What a nice treat. Hope you enjoy your weekend.

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