NISM Series XIII Common Derivatives Certification Exam Notes

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  • Coupon Rate: Annual interest payment as a percentage of face value.
  • Current Yield: Annual coupon divided by current bond price.
  • Yield-To-Maturity (YTM): Total return if bond is held to maturity, factoring all cash flows.
  • Bond Valuation: Present value of future cash flows discounted at market yield.
  • Debt Market Role: Facilitates capital raising for issuers and investment opportunities for investors.

NISM Common Derivatives

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