medium · Debt Capital Markets primary-issuance-syndication
What is the 'New Issue Concession' (NIC)?
- The difference between the yield of a new bond at launch and the estimated secondary-market fair value of the same credit.
- The total fee paid to the underwriting syndicate for managing the deal.
- A contractual reduction in the coupon rate if the company's credit rating improves.
- The discount offered to retail investors to encourage participation in a sovereign auction.
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