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Beginner Investing/Issue price and Demomination
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Question
Hello,
Could you please explain me the difference between issue price and denomination ?
Many thanks
Demonination is simply the unit of measurement (dollar, quarter, yen, etc)
Issue price is the price that a security is sold on issue. This can be at par or face value, or at a discount or premium. Here's an example for a $1,000 bond.
If the bond is purchased at face value, it will cost you $1,000
If the bond is purchased for $950, that price is a discount.
If the bond is purchased for $1,100, that price is premium.
All of these are issue prices, but the US Dollar is the denomination.
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Beginner Investing
Answers by Expert:
Gina Boykin
Expertise
Financial planning, debt management & credit cards, stock investments, mutual funds, bonds, foreign exchange(forex), and saving money tips. If I don't know something I will do my best to research and give you objective and relevant answers.
Experience
Investing, financial advising/planning, saving money
Organizations
Atlanta Youth Empowerment Series
Education/Credentials
B.S. Degree and 10 years of experience in Accounting and Audit. 10 years experience investing in stocks, mutual funds, bonds, real estate, options, and forex
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