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Image source: Flickr user Ken Funakoshi. A perpetual annuity, also called a perpetuity, promises to pay a certain amount of money to its owner forever. A classic example would be that of a perpetual ...

When a government or corporation issues a bond, it does so with a specific par value and interest rate. Once in the market, those values don’t change; however, the value of a bond can change depending ...

Many investors think that because bonds pay a set amount of interest, they are risk-free investments. While it's true that bonds tend to be less volatile than stocks, there are still several risk ...

Here's how to calculate the present value of a perpetual annuity that promises to pay flat or growing annual payments with helpful examples. A perpetual annuity, also called a perpetuity, promises to ...