Time until Maturity financial definition of Time until Maturity
term to maturity (redirected from Time until Maturity)
term to maturity
The number of years within which the issuer of debt promises to meet the requirements of an indenture agreement. Bonds with longer terms to maturity are subject to greater price fluctuations than short-term securities are. See also yield curve
References in periodicals archive
Answer--The difference is in the length of time until maturity
. Notes generally mature in one to ten years.
As you have such a short time until maturity
, I suggest you wait as it is likely you will get a better value then as opposed to surrendering early.
The Federal Reserve Bank would extend credit in an amount that reflected the value of the asset at maturity minus a "discount" based on the Federal Reserve's discount rate and the time until maturity
of the asset.