Par value is far more important for bond investors. The par value of a bond, also known as face value or nominal value, is the price the bond will be redeemed for at maturity. "It's typically set ...

In all cases, yields are expressed as a percentage of the bond's face value (also known as par value ... that bond would have a 5% coupon yield. The exact formula is: The current yield provides ...

In return, the company agrees to pay interest (typically twice per year) and then repay the face value of the bond once it matures. Let's use a typical fixed-rate bond as an example. If you invest ...

it owes you the amount shown on the face of the bond, known as par value, plus interest at maturity. Maturity date is the length of time until the bond’s principal is scheduled to be repaid.