reinvestment rate in English

interest rate for investing money that was released from a previous investment

Use "reinvestment rate" in a sentence

Below are sample sentences containing the word "reinvestment rate" from the English Dictionary. We can refer to these sentence patterns for sentences in case of finding sample sentences with the word "reinvestment rate", or refer to the context using the word "reinvestment rate" in the English Dictionary.

1. Related to this concept is to use the firm's reinvestment rate.

2. If the reinvestment rate is lower than the redemption yield, the opposite is true.

3. There is therefore a reinvestment rate risk if the bond is held until coupons are received.

4. In allusion to the reason of the conflict between NPV and IRR, this paper thinks reinvestment rate theory cant explain it well.

5. All coupon-bearing bonds carry this reinvestment rate risk to a greater or lesser extent — the higher the coupon the greater the risk.

6. If the reinvestment rate is higher than the redemption yield then the actual return on the bond, assuming it is held to maturity, will be higher than the redemption yield.