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Stopping curve refunding rate |
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Stopping curve refunding rateA refunding rate that falls on the stopping curve.Stopping curve refunding rate Similar MatchesNet advantage of refundingNet advantage of refundingThe net present value of the savings from a refunding. PrerefundingPrerefundingProcedure of floating a second bond at a lower interest rate in order to pay off the first bond at the first call date and to reduce overall borrowing costs. Advance refundingAdvance refundingIn the context of municipal bonds, refers to the sale of new bonds (the refunding issue) before the first call date of old bonds (the issue to be refunded). The refunding issue usually specifies a rate lower than the issue to be refunded, and the proceeds are invested, usually in government securities, until the higher-rate bonds become callable. See: Refunding escrow deposits. Senior refundingSenior refunding../../finance-glossary/ment by the issuer of securities with 5-to 12-year maturities with securities of 15-year or longer maturities, in order to delay, reduce, or consolidate payment. RefundingRefundingRedeeming a bond with proceeds received from issuing lower-cost debt obligations with ranking equal to or superior to the debt to be redeemed. Further SuggestionsJunior refundingHigh coupon bond refunding Low coupon bond refunding |
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