Once a bond has been issued, if the holder of the bond retains it until maturity:

Question

Quizplus · Accepted Answer

If a bond is held until maturity, the cash flows (i.e., the coupon payments and principal repayment) will be paid according to the original terms of the bond. However, the market value of the bond may still fluctuate based on changes in interest rates, credit quality, and other factors. But since the holder is no longer interested in selling the bond, the market value is irrelevant.

Once a Bond Has Been Issued, If the Holder of the Bond