What is ‘Mandatory Redemption Schedule’
Specified dates when a bond issuer is required to redeem all or a portion of the outstanding issues of a bond prior to its maturity. The issuer might be required to redeem all or a portion of the bonds according to the call or prepayment provisions of the of the bond contract.
Explaining ‘Mandatory Redemption Schedule’
Some types of mandatory redemptions occur either on a scheduled basis, or when a specified amount of money is available in the sinking fund. Bonds may be redeemed at a specified price, usually at par, and the bondholder will receive any accrued interest to the redemption date.
Further Reading
- Origins resting behind banking financial accountability of paragraphs 78 to 82 of the First Schedule of the Companies Act 1862 (UK) – www.tandfonline.com [PDF]
- Financial engineering in corporate finance: An overview – www.jstor.org [PDF]
- Accounting for redeemable preferred stock: Unresolved issues – search.proquest.com [PDF]
- Response to the FASB discussion memorandum'Distinguishing B – search.proquest.com [PDF]
- Designing fee schedules by formulae, politics, and negotiations. – ajph.aphapublications.org [PDF]
- Evaluating the Economics of Refunding High-Coupon Sinking-Fund Debt – www.jstor.org [PDF]
- Variation in attributes of redeemable preferred stock: Implications for accounting standards – search.proquest.com [PDF]
