How the zero coupon bond provide returns to investors

Is a higher or lower yield to maturity desired by bondholders? Why?

Describe the differences between the yield to maturity (YTM) and the yield to call (YTC) on a bond. Why would the return to the investor be different if a bond is called? Justify your answer

What are some common bond duration strategys that Bond portfolio managers would use?

Discuss the impact of investor sentiment on stock returns conditional on economic conditions?

Consider the supply and demand equilibrium bond graph of the market. Consider the effects of the following scenarios on bond prices, bond interest rates and equilibrium quantities traded. a. Firms expect a decrease in their future profits. b. Expected rises. inflation

1. What effect does increasing inflation expectations have on the required returns of investors in common stock? 2. Explain the specific relationship between risk and reward and why this relationship must be true.

What are the risks of investing in bonds? How can each type of risk be measured and managed?

Defining common stock yield and its importance to investors Define and explain a bond yield's importance. What makes a stock investor different from a bond investor? What are their expectations? What are investors' alternatives if no common dividend is paid? What alternatives do bondholders have if interest payments are missed?