Face Value (Par Value)
Face value, also called par value, is the amount a bond issuer promises to repay at maturity and the base on which the coupon is calculated. It is fixed by the bond's terms and does not change when the market price moves.
Understand investment products, market mechanics, indicators and research terminology. Each entry includes an explanation, example, cautions and related learning.
Showing 1–4 of 4
Face value, also called par value, is the amount a bond issuer promises to repay at maturity and the base on which the coupon is calculated. It is fixed by the bond's terms and does not change when the market price moves.
Forex is the global market where one currency is exchanged for another. It has no single central exchange: banks, brokers, companies, funds and central banks trade through dealer networks and electronic platforms.
Free float is the portion of a company's shares that is available for ordinary investors to trade, after excluding stakes held by controlling shareholders, governments, insiders and other strategic holders. It is usually expressed as a percentage of shares outstanding.
A futures contract is a standardized, exchange-traded agreement to buy or sell a specified quantity of an asset at a set price on a future date, or to settle the difference in cash. Positions are marked to market daily and backed by margin.