'''Redemption value''' is the price at which the issuing company may choose to repurchase a security before its maturity date.<ref name="manage">{{cite web | url=http://www.12manage.com/description_redemption_value.html | title=Redemption Value |accessdate=November 12, 2007}}</ref> A bond is purchased "at a discount" if its redemption value exceeds its purchase price. It is purchased "at a premium" if its purchase price exceeds its redemption value.<ref name="manage" /> Thus, the right will only be exercised at a discount. <ref>[https://www.sec.gov/answers/callablebonds.htm Callable or Redeemable Bonds], sec.gov</ref> See: Callable bond; Embedded option; Convertible bond.
==References== {{Reflist}} <!-- * {{cite web | url=http://www.lse.co.uk/financeglossary.asp?searchTerm=redemption&iArticleID=582&definition=redemption_value | title=Redemption value Definition |accessdate=November 12, 2007}} -->
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Category:Bonds (finance) Category:Embedded options Category:Fixed income analysis Category:Bond valuation