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Harte's, Inc., is bringing a new debt issue to marker. Harte's is an investment grade (as opposed to speculative grade) issuer. The Manager of Finance
Harte's, Inc., is bringing a new debt issue to marker. Harte's is an investment grade (as opposed to speculative grade) issuer. The Manager of Finance for Harte's is reviewing issues related to pricing bonds in a new issue. Which of the following statements would you tell the Manager are true concerning new debt issues. Mark all the correct statements. It is illegal to underprice new debt issues. Generally speaking, investment grade bonds are issued by large, established companies, that makes pricing easier than initial public offerings of equity from smaller, start-up companies. Debt issues are easier to price correctly relative to equity issues, partly due to recognized benchmark yield curves like the US Treasury curve
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