Call provision on bond leads all EXCEPT: Callable bond is a long-term option which gives investors a right to buy a stated number of shares of bonds at a specified price. Bond investors require higher yields on callable bonds. Callable bond allows issuer to refund the bond issue if rates decline (helps the issuer, but hurts the investor). In many cases, callable bonds include a deferred call provision Callable bonds usually have a declining call premium.

Call provision on bond leads all EXCEPT: Callable bond is a long-term option which gives investors a right to buy a stated number of shares of bonds at a specified price. Bond investors require higher yields on callable bonds. Callable bond allows issuer to refund the bond issue if rates decline (helps the issuer, but hurts the investor). In many cases, callable bonds include a deferred call provision Callable bonds usually have a declining call premium