Turners (TNR) bonds

[Snow Leopard]

...What am I missing?...

TRA100-20190825.jpg

Buy $100 face value of bonds for $103.862 (see piccy above).

Receive 9 quarterly payments of $1.375, a gain of $12.375

Receive $100 back on redemption, a loss of $3.862

Net gain over two and bit years = $8.51

Which is approximately 4.0% on your outlay.

[Snoopy]

Buy $100 face value of bonds for $103.862 (see piccy above).

Receive 9 quarterly payments of $1.375, a gain of $12.375

Receive $100 back on redemption, a loss of $3.862

Net gain over two and bit years = $8.51

Which is approximately 4.0% on your outlay.

Ah thank you my white furred friend. 'Well spotted' (pun intended) ;-)

So that 4% yield figure quoted, actually represents a 'wash up' calculation with all bond payments to maturity taken into account. I see now.

SNOOPY