Call premium

Definition:

Premium in price above the par value of a bond or share of preferred stock that must be paid to holders to redeem the bond or share of preferred stock before its scheduled maturity date.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Statistical inference

A statistical method of drawing conclusions on unknown properties of a population based on a random sampling of data from that population.

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