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Soft Call Provision |
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Soft Call Provision In some callable bonds and other fixed income securities, a provision in the indenture stating that the issuer will pay a premium to the face value or market value of the security if it calls it before maturity. Soft call provisions exist to encourage investment in the securities carrying them because they provide a disincentive for early redemption. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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