Tim you're the best find UA-cam channel I've come across in ten years. I'm in the middle of my advanced diploma of financial planning and you are saving my butt.
Nicely explained. Probably useful to note that from the investors POV, they are typically for people with A LOT of money. Which is why bonds are generally held by the older generation.
Excellent explanation! However, I would like to point out that it is best to exercise caution when making decisions solely based on credit rating agencies' evaluations of these institutions.
Excellent teaching! If my professors looked like Tim and taught like him, I would have enjoyed my classes better and learned more. Tim, you should have a segment in one of the business news. I'll follow your shows.
Tesco 6% 2029 90, what is the flat yield. what is the yield to maturity? I think you should cover both premium bonds and discount bonds in your lectures.
so if I buy a 30 year $100 bond with a 5% coupon, I will be getting 5$ every year, so after 30 years I will get $150? so after 30 years I will make only $50?
No, because you will get your principal ($100) back as well. The $150 coupon over the years can be interpreted as interest income. However, it is unlikely you'll ever pay $100 dollars for a $100 bond. The market price of the $100 bond will fluctuate depending on interest rates/economic factors.
@@gerardoperezjacobo In reality, his net profit will be only $50 after 30 years on $150. If you do agree with my statement, does it worth buying a bond with such a modicum return? although it is comparatively safer
He mentions in the other bond video that the bond is worth £100 when its bought back. He mentions again in this one, how come it's worth £100 if nominal is £110? Great vids though
Tim you're the best find UA-cam channel I've come across in ten years. I'm in the middle of my advanced diploma of financial planning and you are saving my butt.
Nicely explained. Probably useful to note that from the investors POV, they are typically for people with A LOT of money. Which is why bonds are generally held by the older generation.
Tim's the David Brent of the Financial Office. Seriously, AWESOME teacher.
Tim, thank you for intuitively explaining all these topics, this is a great help
The examples you used really facilitates understanding the concept. Excellent way of teaching!
You do a great job with your straight forward and easy to follow explanations. Thank you very much.
Dear Tim, your are the best teacher !
A great video, very informative, thank you so much!
Very clear explanations. Thank you
Love your videos! They are helping me out with a job interview right now! I really appreciate you making these!
You shouldn't be watching UA-cam in the middle of a job interview. tsk tsk tsk
did you end up getting the job?
Thanks! Great great learning videos!
Excellent stuff, bright bloke.
Very clear and helpful. thank you
Thank you sir... Very simple and straight forward explanation
love your videos.now i understand what bonds are.but i still have confusion on is it easy to sell bonds?is it different then CDS?
This guy is a great explainer
Superb Video, so well explained, clear and concise.
Excellent explanation!
Excellent. Thank you
Subbed. Got a lot to catch up on!
Excellent!
Thank you Sir Tim, from Kent, Malaysia.
Excellent explanation! However, I would like to point out that it is best to exercise caution when making decisions solely based on credit rating agencies' evaluations of these institutions.
Excellent
Thanks Tim
"So you've thrown away 10 quid. And that's mad." lol
thank you
Fabtastico!
Excellent teaching! If my professors looked like Tim and taught like him, I would have enjoyed my classes better and learned more. Tim, you should have a segment in one of the business news. I'll follow your shows.
Tesco 6% 2029 90, what is the flat yield. what is the yield to maturity? I think you should cover both premium bonds and discount bonds in your lectures.
so if I buy a 30 year $100 bond with a 5% coupon, I will be getting 5$ every year, so after 30 years I will get $150? so after 30 years I will make only $50?
No, because you will get your principal ($100) back as well. The $150 coupon over the years can be interpreted as interest income. However, it is unlikely you'll ever pay $100 dollars for a $100 bond. The market price of the $100 bond will fluctuate depending on interest rates/economic factors.
@@gerardoperezjacobo In reality, his net profit will be only $50 after 30 years on $150. If you do agree with my statement, does it worth buying a bond with such a modicum return? although it is comparatively safer
...and meanwhile, Tim has just come back from lunch after cycling on a very windy day
So he wasn't wearing his helmet. tsk tsk tsk
He mentions in the other bond video that the bond is worth £100 when its bought back. He mentions again in this one, how come it's worth £100 if nominal is £110? Great vids though
+Myles Block As in like why is the 6% £6 instead of £6.60? 10% of £110?
+Myles Block 6% sorry
+Myles Block Do you mean when it matures not bought back? the market price fluctuates depending on the bond market but the nominal value never changes
@@mylesblock1585 Yeah, the coupon is always with reference to the nominal. 6% on a bond priced at will pay 6 pounds (the price is irrelevant).
Excellent!
Excellent