Prerefunded bond

Prerefunded bond
Refunded bond.
Private Export Funding Corporation (PEFCO) ...

Prerefunded bond
Refunded bond.
Prerefunding
Procedure of floating a second bond at a lower interest rate in order to pay off the first bond at the first call date and to reduce overall borrowing costs.

Also called a prerefunded bond, one that originally may have been issued as a general obligation or revenue bond but that is now secured by an "escrow fund" consisting entirely of direct U.S.

Also known as "prerefunded bonds".
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Refunding ...

Prerefunded bonds, also called refunded bonds, are securities escrowed or collateralized by U.S. government obligations.

Refunded bonds (also called prerefunded bonds) are tax-backed or revenue bonds that the issuer has allocated funds to fully retire. The issuer hasn't retied the debt yet, either because it is not yet callable or for some other reason.

If that's the case, the bond is identified as a prerefunded bond.To prerefund, the issuer sells a second bond with a longer maturity or a lower coupon rate, or both, ...

Payments made in excess of scheduled mortgage principal repayments.
Prerefunded bond
Refunded bond.
Prerefunding ...

Prerefunding may occur when a corporation plans to redeem a callable bond before its maturity date. If that's the case, the bond is identified as a prerefunded bond.

specific securities are chosen because their maturity dates correspond to the date on which the company will need the money to redeem the first bond. This process is called prerefunding, and the bond to be called is identified as a prerefunded bond.

Prerefunded bond Refunded bond. Present value The amount of cash today that is equivalent in value to a payment, or to a stream of payments, to be received in the future.

See also: Refunded bond, Refunding, Funding, Restructuring, Risk-adjusted return