Make whole: Difference between revisions
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imported>Doug Williamson (Generalise to international context.) |
imported>Doug Williamson m (Categorise.) |
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* [[Make whole clause]] | * [[Make whole clause]] | ||
* [[Security]] | * [[Security]] | ||
[[Category:Accounting,_tax_and_regulation]] | |||
[[Category:Corporate_financial_management]] | |||
Revision as of 09:49, 14 March 2018
Securities.
To make whole is the action of the issuer of security, on early redemption, of calculating and paying a redemption value calculated at the government bond yield.
The presence of a make whole clause, under which it is mandatory for an issuer to make whole in this way, potentially makes it prohibitively expensive for the issuer to take an early redemption.
