easy · Debt Capital Markets bond-instruments-structures
What does a 5-year bond described as 'NC2' signify regarding its call protection?
- The issuer cannot redeem the bond for the first 2 years of its life.
- The bond must be refinanced exactly 2 years after the issuance date.
- The coupon rate will increase by 2% if the bond is not called after year two.
- The investor has the right to put the bond back to the issuer after 2 years.
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