Yield To Call

DEFINITION of 'Yield To Call'

The yield of a bond or note if you were to buy and hold the security until the call date. This yield is valid only if the security is called prior to maturity. The calculation of yield to call is based on the coupon rate, the length of time to the call date and the market price.

BREAKING DOWN 'Yield To Call'

Generally speaking, bonds are callable over several years and are normally called at a slight premium.

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