A condition that may be attached to the issue of a sinkable bond that allows the bond issuer to buy back bonds from bondholders at a pre-set price, using the sinking fund attached to the bond issuance. This provision raises the level of risk for the bondholder.
Related information about sinking fund call:
- Sinking Fund Call Definition | Investopedia
A provision allowing a bond issuer the opportunity to buy outstanding bonds from bondholders for a set rate, using money (a sinking fund) from the issuer's ...
- Sinking Fund Call - Financial Dictionary - The Free Dictionary
A provision in some bond indentures allowing the issuer to redeem a bond before maturity using money it had previously set aside in a sinking fund. A sinking ...
- Sinking fund - Wikipedia, the free encyclopedia
To allocate the burden of the sinking fund call fairly among bondholders, the bonds chosen for the call are selected at random based on serial number. The firm ...
- sinking fund call - Invest Definition
sinking fund call definition: An issuer's call of a portion of an outstanding bond issue to satisfy the issue's sinking fund requirement. A sinking fund call is ...
- Understanding “Call” and Refunding Risk
... falling-rate environment—is that bondholders may receive a sinking-fund call at a price (often par) that may be lower than the current market price of the bonds ...
- What is sinking fund call? definition and meaning
Definition of sinking fund call: A condition that may be attached to the issue of a sinkable bond that allows the bond issuer to buy back bonds from bondholders ...
- Chapter 7
7-10 A call for sinking fund purposes is quite different from a refunding call- a sinking fund call requires no call premium, but only a small percentage of the issue ...
- Bond Basics | Callable Fixed Income Securities - Raymond James
The sinking fund call schedule and the call price are set at the time of issuance. Some bonds may be called at par or the prevailing market price, whichever is ...