What Is Face Value Of A Share And Debenture?

Face Value Of A Share And Debenturestated value given to a security by the company. For stocks, it’s the original price of the share shown on the certificates for bonds, it’s the amount given to the share holder at maturation. Also called par value or just par.

For the equity stock, the face value is generally a very tiny amount Rs. 5 or Rs. 10 and doesn’t have very much bearing on the cost of the share, which may estimate larger in the share market, at Rs. 200 or Rs. 500 or other price.

For a debt security, face value is a amount of money refunded to the buyer while the bond aged, generally, Govt securities as well as corporate and business bonds have a face price of Rs. 100. The cost in which the security buys and sells depends on the variances in the interest rates in the economy.

Be Sociable, Share!
Tags:

Stock Market Basics For Beginners

National Stock Exchange Of India (NSE)

National Stock Exchange Of India (NSE) National Stock Exchange (NSE), found in the 1990s as a demutualised electronic exchange by Indian financial institutions.  Today, NSE is India's biggest exchange and second ...…

Who’re the players in the Securities Market?

Who’re the players in the Securities Market? The securities market basically has 3 categories of-participants, such as, the companies of securities, traders in securities and also the intermediaries, like merchant bankers, brokers ...…

Meaning For Book Building Process

Meaning For Book Building Process Book Building is fundamentally a procedure utilized in IPOs for effective price discovery. It's a method where, during the time period for which the initial ...…

Why It Is Necessary To Review Your Mutual Fund Portfolio Year After Year

Why It Is Necessary To Review Your Mutual Fund Portfolio Year After Year A lot of Indian investors buy Mutual funds looking at just one factor that is past returns. Yes, it is one of the important ...…

Term Derivative

Term Derivative Derivative is usually a product whose worth hails from the value of more than one basic factors, known as underlying. The underlying property can be ...…

Indian Share Tips

NSE Investment Site

Market Update

Share Guide

Designed by VMV
web
analytics