Is the yield to maturity on a bond the same thing as the required return?

Question

asked Jul 10, 2021 75.1k views

1 Answer

Pintu Kumar · Answer 1 · 2021-07-15T18:18:20+0000

Answer:

Yes

Step-by-step explanation:

The YTM is the same thing as required return.

The YTM is the rate at which the coupon payments and the face value at maturity are discounted to get the current price of the bond.