When investing in bonds, there are a multitude of differences with risk level, time to maturity, and specific provisions, etc. One such provisional feature is known as a sinking fund. As an investor, would you consider a sinking fund provision as an attractive feature for a bond investment? Why?© BrainMass Inc. brainmass.com September 22, 2018, 10:59 pm ad1c9bdddf - https://brainmass.com/business/finance/is-a-sinking-fund-an-attractive-feature-for-bond-investment-574102
As per xtrakter, "A sinking fund provision of a corporate bond indenture requires a proportion of the issue to be retired periodically. The entire bond issue can be liquidated by the maturity date." Sinking fund requires specific amount ...
The solution discusses whether a sinking fund is an advantageous provisional feature to a bond or not. 150+ words with references included.