Analyzing the Relationship Between Bonds and Inflation: and To Study the Changes In Historical Performance of Bonds

Abstract

Primary markets, entities such as corporations, governments, municipalities, and others issue bonds for investors. Companies and governments are quite same in the use the corpus so gathered to finance operations and infrastructure development. Bonds are bought by investors for face value, or principal, which is refunded at the conclusion of a predetermined term. A portion of the principal interest is extended by issuers at either fixed or variable rates.