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A callable bond is a financial instrument that allows the issuer to redeem the bond before its maturity date. This gives the issuer flexibility but can pose risks to bondholders, such as potential loss of interest income. Callable bonds often have higher yields to compensate for this risk. Puttable bonds, on the other hand, allow bondholders to sell the bond back to the issuer at a fixed price before maturity. Understanding who called a bond involves examining the bond's terms and conditions.

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