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    Fixed Income Securities: A Beginner's Guide to Understand, Invest and Evaluate Fixed Income Securities: Investment series, #2
    Fixed Income Securities: A Beginner's Guide to Understand, Invest and Evaluate Fixed Income Securities: Investment series, #2
    Fixed Income Securities: A Beginner's Guide to Understand, Invest and Evaluate Fixed Income Securities: Investment series, #2
    Ebook81 pages51 minutes

    Fixed Income Securities: A Beginner's Guide to Understand, Invest and Evaluate Fixed Income Securities: Investment series, #2

    By M. Imran Ahsan

    ()

    Read preview

    About this ebook

    This book is written to help the investors to learn, analyze and evaluate fixed income securities to for investment purposes. Moreover if you want to just understand FIXED INCOME securities, this book will help you.
    Many books are available in the market for the same purpose and they are good. The main quality of this book which distinguishes it from others is this book covers whole material in very precise and comprehensive manner. As a university lecturer for past ten years, I know how to make difficult concepts easy and understandable.
    The language used in this book is very simple to understand for even beginners. Surely Fixed income securities are too hard to be simplified but you will feel they are extremely easy to understand. Dear readers best of luck for the investment decisions and learning.

    LanguageEnglish
    PublisherM. Imran Ahsan
    Release dateJun 8, 2020
    ISBN9798224958924
    Fixed Income Securities: A Beginner's Guide to Understand, Invest and Evaluate Fixed Income Securities: Investment series, #2
    Author

    M. Imran Ahsan

    I am a PhD scholar and is a university lecturer for more than 11 years. I have been teaching Finance and Economics at various levels.  As an instructor I believe in simplicity, comprehensivity and in conciseness. I believe in smart kind of hard work. It means you should use your time efficiently to achieve optimal goals with limited time and efforts. 

    Read more from M. Imran Ahsan

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      Book preview

      Fixed Income Securities - M. Imran Ahsan

      Fixed Income Securities

      A Beginner's Guide to Understand, Invest and Evaluate Fixed Income Securities

      M. Imran Ahsan

      All rights are reserved

      FIXED-INCOME SECURITIES: Introduction

      Basic features of fixed-income-securities

      Content of a bond indenture

      Legal, regulatory, and tax considerations - issuance and trading of fixed-income securities

      Cash flow structures of fixed-income securities

      Contingency provisions - timing and/or nature of cash flows of fixed-income securities

      FIXED-INCOME MARKETS

      Classifications of global fixed-income markets

      Interbank offered rates as reference rates in floating-rate debt

      Mechanisms for issuing bonds in primary markets

      Secondary markets for bonds

      Fixed income securities issued by sovereign governments

      Fixed income securities issued by non-sovereign governments, quasigovernment entities, and supranational agencies

      Types of debt issued by corporations

      Structured financial instruments

      Short-term funding alternatives for banks

      Repurchase agreements (repos)

      FIXEDINCOME VALUATION

      How to calculate a bond’s price given a market discount rate

      Relationships among a bond’s price, coupon rate, maturity, and market discount rate (yield-to-maturity).

      Flat price, accrued interest, and the full price of a bond

      Matrix pricing

      Annual yield and varying compounding periods in a year

      Yield measures for fixed-rate bonds and floating-rate notes

      Yield Measures for Fixed-rate bonds

      Yield measures for fixed money market instruments

      Spot curve, yield curve on coupon bonds, par curve, and forward curve

      Forward rates-spot rates and the price of a bond using forward rates

      Yield spread measures

      INTRODUCTION TO ASSETBACKED SECURITIES

      Securitization and its benefits

      Securitization process

      Typical structures of securitizations

      Types and characteristics of securitized residential mortgage loans

      Types and characteristics of residential mortgage-backed securities

      Prepayment risk of mortgage backed securities

      Commercial mortgage-backed securities

      Non-mortgage asset-backed securities

      Collateralized debt obligations

      FIXED INCOME RISK AND RETURN

      Sources of return from investing in a fixed-rate bond

      Macaulay, modified, and effective durations

      Key rate duration and its uses in measuring the sensitivity of bonds

      How a bond’s maturity, coupon, and yield level affect its interest rate risk

      Duration of a portfolio and its limitations

      Money duration of a bond and price value of a basis point (PVBP)

      Approximate convexity and effective convexity

      Term structure of yield volatility and interest rate risk of a bond

      Bond’s holding period return, its duration, and the investment horizon- relationship

      Effect changes in credit spread and liquidity on yield-to-maturity

      FUNDAMENTSLS OF CREDIT ANALYSIS

      Credit risk, credit-related risks, default probability and loss severity

      Seniority rankings of corporate debt and its limitations

      Corporate issuer credit ratings and issue credit ratings and practice of notching.

      Risks in relying on credit rating agencies

      Four Cs of credit analysis

      Financial ratios used in credit analysis

      Factors that affect the yield spreads

      Things to consider when evaluating the credit of high yield debt

      Preface

      This book is written to help the investors to learn, analyze and evaluate fixed income securities to for investment purposes. Moreover if you want to just understand FIXED INCOME securities, this book will help you.

      Many books are available in the market for the same purpose and they are good. The main quality of this book which distinguishes it from others is this book covers whole material in very precise and comprehensive manner. As a university lecturer for past ten years, I know how to make difficult concepts easy and understandable.

      The language used in this book is very simple to understand for even beginners. Surely Fixed income securities are too hard to be simplified but you will feel they are extremely easy to understand. Dear readers best of luck for the investment decisions and learning. If you feel any problem do not hesitate to contact me at

      Ch. Imranahsen@gmail.com

      Whats app# 00923465006818

      FIXED-INCOME SECURITIES: Introduction

      Basic features of fixed-income-securities

      The most commonly referred fixed income security is bond so when we talk about fixed income security you can see it as bond. A bond is a debt instrument which promises to pay a certain amount of cash at specific intervals to the lender by issuer in future. The issuer of bond is the borrower while the purchaser of the bond is lender of funds.

      The value of a bond is mostly affected by two things, the interest rate and risk associated with the bond issuer. When interest rate rises the bond’s value goes down as the promised future cash inflows from that bond are discounted with higher discount rate now.

      The risk of default also affects the bond’s

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