TL/DR: looked everywhere, no straight answer to the following:
If a bond costs £100 initially with £5 return for 10 years, it will fully return £150 after 10 years. (Wild example, I know)
Would someone at any point pay over £150 (or over how much it currently has left)?
If so, why?
In: Economics
It depends on the bond. Everyone gets excited about the stock market but it’s tiny compared to the bond market. There are many, many different bonds that all serve different purposes. If you can tell me what bond you are looking at I can answer your question. (I trade bonds professionally).
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