NO.PZ2023010301000107
问题如下:
A "buy-and-hold" investor purchases a fixed-rate bond at a discount and holds the security until it matures. Which of the following sources of return is least likely to contribute to the investor's total return over the investment horizon, assuming all payments are made as scheduled?
选项:
A.Capital gain
Principal payment
Reinvestment of coupon payments
解释:
Correct Answer: A
A capital gain is least likely to contribute to the investor's total return. There is no capital gain (or loss) because the bond is held to maturity. The carrying value of the bond at maturity is par value, the same as the redemption amount. When a fixed-rate bond is held to its maturity, the investor receives the principal payment at maturity. This principal payment is a source of return for the investor. A fixed-rate bond pays periodic coupon payments, and the reinvestment of these coupon payments is a source of return for the investor. The investor's total return is the redemption of principal at maturity and the sum of the reinvested coupons.
老师,the principal 这里是不是就等于Par value, 那就是固定的,为什么还会影响total return 呢?