Point
One percent or 1%.
bond-basics
Basis Point
One one-hundredth of one percent (.01%). Example: 0.04% is four Basis Points, so 5.49% is four Basis Points more than 5.45%.
Preparing Bonds
Learn about over various terms and concepts that may arise while preparing a bond issue.
See Also
Interest Rate
The rate expressed as a percentage of the principal amount of a bond used to determine the amount of interest to be paid by the issuer or the borrower.
Start with the Bond Basics
Hundreds of Terms and Concepts
Put Bond
A bond that gives the bondholder the right to sell, or put, the bond to the issuer or some other party, often a remarketing agent, under specific conditions.