The Basics

What about bond interest rates?

Bonds have a stated interest rate that may be dispersed and paid to a bondholder in a few different ways. Bonds may pay interest to investors at a fixed-rate or a floating rate, whereby the rate is adjusted periodically and tied to bond benchmark interest rate indexes such as the London Interbank Offered Rate (LIBOR), U.S. Treasury Bills, or other benchmarks. Please consult your bond expert for further information on the interest rates of bonds you may be considering.


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