We know that a vanilla bond that has a coupon rate which is below the market rate of interest will sell for a discount and that a vanilla bond which has a coupon rate above the market rate of interest will sell for a premium What kind of bond or loan will sell at its par value regardless of what happens to the market rate of interest

Question: We know that a vanilla bond that has a coupon rate which is below the market rate of interest will sell for a discount and

We know that a vanilla bond that has a rate which is below the market rate of interest will sell for a discount and that a vanilla bond which has a rate above the market rate of interest will sell for a premium. What kind of bond or loan will sell at its regardless of what happens to the market rate of interest?

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