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Coupon interest rate becomes higher

2025-01-18 19:47
2025-01-18 21:25

The coupon rate became higher because the market interest rate rose. The higher the market interest rate, the higher the capital cost center. The static investment income of investors increased, and the range of choices increased. This led to an increase in the financing costs of the issuing company. Whether it was the bond market or credit funds, the cost would increase, and the space for the issuing company to negotiate would decrease. Therefore, in order to attract investors to buy bonds, the issuing company would raise the interest rate of the bonds.

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