Redemption

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Redemption

Repayment of a debt security or preferred stock issue, at or before maturity, at par or at a premium price.

Redemption

1. In bonds, the act of an issuer repurchasing a bond at or before maturity. Redemption is made at the face value of the bond unless it occurs before maturity, in which case the bond is bought back at a premium to compensate for lost interest. The issuer has the right to redeem the bond at any time, although the earlier the redemption take place, the higher the premium usually is. This provides an incentive for companies to do this as rarely as possible.

2. The act of the issuing company repurchasing stocks or mutual funds. In the case of mutual funds, the repurchase is made at net asset value per share. Stocks may be redeemed in cash or by proration. See also: Proratable factor.

redemption

The retirement of a security by repurchase. Although generally used in reference to the repurchase of a bond before maturity, the term also applies to stock and mutual fund shares. See also partial redemption.

Redemption.

When a fixed-income investment matures, and you get your investment amount back, the repayment is known as redemption.

Bonds are usually redeemed at par, or face value, traditionally $1,000 per bond. However, if a bond issuer calls the bond, or pays it off before maturity, you may be paid a premium, or a certain dollar amount over par, to compensate you for lost interest.

You can redeem, or liquidate, open-end mutual fund shares at any time. The fund buys them back at their net asset value (NAV), which is the dollar value of one share in the fund.

References in periodicals archive ?
Through the Eucharist we participate in His life and through this same Sacrament we are able to unite our life to His and most especially our sufferings to His redemptive suffering.
404(k)(1) does not allow a deduction for a redemptive dividend alone, but only for that portion of the redemptive dividend distributed in cash to participants.
The state thus becomes his ideological fantasy, which sets the terms of the redemptive contract in Castruccio's mind.
Red76 further complicated the problem of authorship by claiming everyday exchange as their own, creating the arena in which to perform its theater of redemptive good times by looking for the most common and widespread activities.
Full disclosure: In this era of Oprahokayed emotionally redemptive "truth," and given my unreliable memory, perhaps it was not National Geographic but a scene from the movie Heaven Knows, Mr.
I don't believe that every lyric from every song that comes out of hip-hop culture needs to be socially redemptive.
Shenk has no psychobiographical theory or therapy to promote, nor does he nurture any Byronic illusions about the redemptive or creative powers of melancholy.
However, I would caution Davis in arguing that Williams's theology is most like James Gustafson (whose Ethics From a Theocentric Perspective sometimes dilutes the particularity of certain Christian beliefs, such as the redemptive work of the triune God, for the sake of universal philosophical assumptions).
Cain's world is a bleak one of fuzzy values and situational ethics, where nobody is quite what he seems and where love is anything but happy and redemptive.
To take up the life of the cross--or in the case of Judaism, to authentically stand before God--cannot therefore be satisfied by Niebuhr's profile of the sinner who though justified must nonetheless wait patiently and hopefully for God's continued redemptive change.