Redemption Value

Knowledge Center

• About
• Home
• Dictionary
• Encyclopedia
• Question?
• Views

• Register
• Log in
• Help

• Change & Organization
• Communication & Skills
• Decision-making & Valuation
• Ethics & Responsibility
• Finance & Investing
• HRM
• Knowledge & Intangibles
• Leadership
• Marketing
• Program & Project
• Strategy
• Supply Chain & Quality

Description of Redemption Value. Explanation.

Definition Redemption Value. Description.

The Redemption Value is the par or premium price of a debt security or preferred stock issue for which it can be repaid at or before its Maturity Date. It is the price at which a bond or Preferred Stock can be called by the issuing company. The debt instrument is then repurchased. The call price before its maturity date typically exceeds the Face Value of the bond by a Call Premium, recognizing that the holder will lose income and ownership from the forced buyback.

A bond is said to be purchased at a premium if its purchase price exceeds its redemption value.
If the purchase price of a bond is less than its redemption value, it is said to be purchased at a discount.

Redemption Value Forum   Redemption in Mutual Funds What is redemption in mutual funds?...         Start a new topic

Redemption Value Special Interest Group Special Interest Group

Best Practices - Redemption Value Premium

Expert Tips - Redemption Value Premium

Resources - Redemption Value Premium   News about Redemption Value         Videos about Redemption Value         Presentations about Redemption Value         Books about Redemption Value         More about Redemption Value

Compare with: Face Value  |  Maturity Date  |  Yield to Maturity  |  Net Present Value  |  Bond Insurance

Return to Management Hub: Decision-making & Valuation  |  Finance & Investing

More on Management  |  Return to Management Dictionary  | 

This ends our Redemption Value summary and forum.