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Agio

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Dictionary Says

Definition of 'Agio'

A description of the bond premium when the bond market value is greater than the par value. In international markets, agio can also sometimes refer to the fee paid for undertaking a transaction. Because these bonds are often traded on international markets, the agio premium is also used to describe the premium to exchange currencies.
Investopedia Says

Investopedia explains 'Agio'

As an example, if a bond was issued at 105%, then its agio would be 5%. Agio is typically an uncommon term for spread, and is not commonly used in Canada or the U.S.

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