Definition
A bond the issuer may repay before scheduled maturity.
Why it’s relevant today
Issuers refinance callable debt when rates become favorable.
Why it matters
Investors face reinvestment risk when attractive bonds are called.
A bond the issuer may repay before scheduled maturity.
Issuers refinance callable debt when rates become favorable.
Investors face reinvestment risk when attractive bonds are called.
Discussion
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