Irredeemable Debentures
Definition of Irredeemable Debentures
Related Terms
Fixed Income Securities
- Certificates of Deposit
- Corporate Bonds
- Municipal Bonds
- Treasury Bonds
- Treasury Bills
Often referred to as the coupon rate, the interest on a fixed income security is determined by the creditworthiness of the issuing company or entity as well as the latest interest rate set by the government.
Fixed income securities also confer seniority of claim to investors, which means that the investors who’ve helped finance the loan will receive their money first in the event a company is liquidated.
P/E Ratio (Price-to-Earnings)
Broker
That’s why investors must go through a broker when they want to trade or invest in stocks, ETFs, futures, options, and others.
Averaging Down
Day 1 (Normal price)
- Shares bought of XYZ: 10
- Price of each share: Rs. 1000
- Total cost of investing: Rs. 10,000
- Average investment cost: Rs. 1000
Day 2 (Lower price)
- Shares bought of XYZ: 10
- Price of each share: Rs. 900
- Total cost of investing: Rs. 9,000
- Average investment cost: Rs. 900
Averaging Down
- Initial average cost of investing (Day 1): Rs. 1000
- New average cost of investing (Day 1 & Day 2): Rs. 950

