- An embedded option granting a bond issuer the right to buy back all or part of the issue prior to maturity. The New York Times Financial Glossary
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* * *A clause in a bond's indenture, granting the issuer the right to buy back all or part of an issue prior to the maturity date.
* * *call provision UK US noun [C] (also call feature) FINANCE► a part of an agreement for the sale of a bond which allows the seller to buy back the bond at a particular time for a particular price: »
High-yield, high-risk bonds, like other bonds, may contain redemption or call provisions.► a part of a loan agreement which allows the financial organization or person who lent the money to demand payment at a particular time or in particular situations: »
Your loan may have a call provision at 5-7 years, which means you'll have to re-qualify.
Financial and business terms. 2012.
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call provision — An embedded option granting a bond issuer the right to buy back all or part of an issue prior to maturity. Bloomberg Financial Dictionary * * * call provision call provision ➔ provision * * * A clause in a bond s indenture, granting the issuer … Financial and business terms
Call Provision — A provision on a bond or other fixed income instrument that allows the original issuer to repurchase and retire the bonds. If there is a call provision in place, it will typically come with a time window under which the bond can be called, and a… … Investment dictionary
call provision — Fin a clause in an indenture that lets the issuer of a bond redeem it before the date of its maturity … The ultimate business dictionary
Make Whole Call (Provision) — A type of call provision on a bond allowing the borrower to pay off remaining debt early. The borrower has to make a lump sum payment derived from a formula based on the net present value (NPV) of future coupon payments that will not be paid… … Investment dictionary
Soft Call Provision — A feature added to convertible fixed income and debt securities. The provision dictates that a premium will be paid by the issuer if early redemption occurs. A sweetener added to increase securities attractiveness, a soft call provision acts as… … Investment dictionary
provision — pro‧vi‧sion [prəˈvɪʒn] noun 1. [uncountable] the act of providing something that someone needs: • the provision of childcare facilities at work • provision for people with disabilities 2. make provision( s) to make plans for future needs: make… … Financial and business terms
call feature — See call option. American Banker Glossary Part of the indenture agreement between the bond issuer and buyer describing the schedule and price of redemptions prior to maturity. Bloomberg Financial Dictionary * * * call feature ˈcall ˌfeature noun… … Financial and business terms
Call — An option that gives the right to buy the underlying futures contract. The New York Times Financial Glossary * * * ▪ I. call call 1 [kɔːl ǁ kɒːl] verb 1. [intransitive, transitive] to telephone someone: • She called the airport to ask about… … Financial and business terms
call — The period at market opening or closing during which futures contract prices are established by auction. The CENTER ONLINE Futures Glossary An option that grants the holder the right to purchase an instrument in the future at a price established… … Financial and business terms
Call Price — The price at which a bond or a preferred stock can be redeemed by the issuer. This price is set at the time the security is issued. Also referred to as redemption price . For example, let s say the TSJ Sports Conglomerate issues 100,000 preferred … Investment dictionary