The yield on the bond is 6 .

So a security in the equity world is a stock.

Savings bonds.

They're savings bonds.

So it's going to be 6,000 times 1,000 bond certificates.

And what is a bond?

And if buying debt seems like a weird thing to say, buying debt is the same thing as lending money (lending money).

But again, fun is not enough.

We would create incentives for securitization.

Annual rate of security

So, each of these is an investor.

...even UBahn tickets.

But then there's a very fundamental difference in what the holder of the bond is doing.

You can't get it on Yahoo!

It can do it through debt or equity.

I have 4 billion in residential CDOs, collateralized debt obligations.

But kind of the one that people always talk about, I guess in the same phrase, is bonds.

There's very little chance of them defaulting on their loans.

And we came up with this idea of issuing bonds, press freedom bonds.

I feel secure when I invest in stocks but not bonds.

I have called. A couple of times.

It allows let's say this group of borrowers let's say this pool of borrowers right here actually didn't

So this piece memorializes my friends in these jars, and they actually move around.

Treasury notes are loans that are from one year to 10 years.

So it's essentially this is an IOU from Company XYZ.

Some of them are going to pay ahead of time.

over the total amount of

The Spanish Victory Bond.

In this particular example, it

This guy, he does have interest.

And because it's a junkier rating, no one is going to want to buy it.

And we said there's different kinds of debt.

They move they go up, they go down.

We just paid interest.

My next presentation, I'm going to take it to a further

So that's what we're going to show you in the presentation on collateralized debt obligations.

Good!

Finance, you type in the ticker symbol and you get the price for that day.

I have a whole video on mortgage backed securities.

May I have coupon tickets?

So what you do is you have, let's say, the 6 million.

Was not very successful. And so on and so forth.

And if the company goes bankrupt, you'll also go bankrupt.

So when most people talk about the yield curve, they're talking about the treasury yield curve.

And then there is the third couple. They are two friends.