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Explain the impact of a call feature on the attractiveness of a bond for investors. In your answer, make sure that you refer to at
Explain the impact of a call feature on the attractiveness of a bond for investors. In your answer, make sure that you refer to at least the following:
1.1.1. why so many bonds are callable (2)
1.1.2. disadvantages of a callable bond to the investor (3)
1.1.3. Explain what the investor receives in exchange for a bond being callable (3)
1.1.4. Explain how bond valuation calculations are affected if bonds are callable(2)
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