analyse outstanding bonds. First, compute the credit spread of this bond, by calculating the yield-to-maturity on this
Question:
analyse outstanding bonds. First, compute the credit spread of this bond, by calculating the yield-to-maturity on this bond, and comparing it with the yield on Treasury bonds of comparable duration. (For information on AUS treasury yields see the RBAwebsite and look for "Capital Market Yields - Government Bonds - Monthly". For current US treasury yields, go to Yahoo Finance, and type "treasury yield".) Second, estimate the bond's price one year from now (assuming that interest rates will remain constant), and comment on the reason behind the expected price change (if any) from the current price of the bond. Finally, explain which credit rating you expect your company to receive from the credit rating agencies,
MSFT 3.300% 06 Feb 2027 Corp (USD)
- ISIN: US594918BY93
- Coupon Rates: 3.300%
- Maturity Dates: 06 Feb 2027