Quote Originally Posted by BIRMANBOY View Post
Not looking to buy..already holding since inception. Just pondering what, if anything might be on the cards coming up. I think the reason they are trading at par is the uncertainty. Until 2018 they were trading well but since then has been gradual decline...
Birmanboy, with the probable repayment date of the ANBHB bond coming up so soon, in just a couple of months, you wouldn't expect anything else but the market price of ANBHB returning to par. If you are probably going to be given $1 for each bond in a couple of months, why would anyone pay more than a dollar now? One reason might be to pick up the last interest payment, but that would have to be offset against the transaction cost of buying the bond. So the reason for the decline in the bond price is certainty about what is about to happen, not uncertainty!

If the bond continues then the interest rate is reset to 'market rates'. So there is no reason to pay a premium today for any possible renewal rights. Nothing to see here. Everything behaving exactly as you would expect.

SNOOPY