Below Par refers to a financial security, especially a bond, that is trading at a price lower than its face or nominal value.
Face value, also known as par value, denotes the nominal or stated value a particular asset maintains, such as stocks, bonds, or other types of securities. It is predominantly utilized in the fields of finance and investment to determine the fixed worth sovereignly ascribed to an instrument.
Nominal price refers to a minimal or face value of a security at issuance, often not reflective of the current market value.
Nominal value refers to the face value of a security as stated by the issuer, often used interchangeably with 'par value.' It represents the value printed on the instrument, such as a bond or share certificate.
A par bond is a bond that is selling at its nominal value or face value. This reflects a situation where the bond's market price is equal to its face value, indicating a good balance between supply and demand as well as market optimism regarding its returns.
Par value, also known as face value or nominal value, is the minimum price at which shares or other securities are issued and can be redeemed. The par value is typically set by the company at the time of issuance and does not fluctuate.
In accounting and finance, the term 'premium' can refer to the consideration payable for a contract of insurance, an amount in excess of the nominal value of a share, or an amount in excess of the issue price of a share or other security. Premiums play a significant role in insurance policies and in the valuation of shares and securities.
Share premium is the amount payable for shares in a company that is issued by the company itself, in excess of their nominal value. The premium received must be credited to a share premium account, which is restricted in use and cannot be utilized for paying dividends to shareholders.
