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I need help understanding Bonds - Suppose your company issued 30 year bonds at par value. 5 years later rates have dropped - should you
I need help understanding Bonds -
Suppose your company issued 30 year bonds at par value. 5 years later rates have dropped - should you keep your bonds or buy them back?
Now suppose rates had increased - what should you do? Remember that there is an inverse relationship between a financial assets value and interest rates!
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