Make whole: Difference between revisions
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imported>Doug Williamson (Link with Issuer page.) |
imported>Doug Williamson (Generalise to international context.) |
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'' | ''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 | 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. | 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. | ||
Revision as of 17:12, 5 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.
