SELF-TEST QUESTIONS:

ST-1 Define each of the following terms:

1. Bond; treasury bond; corporate bond; municipal bond; foreign bond

- Bond: a security that obligates the issuer to make specified interest and principal
payments to the holder on specified dates
- Treasury bond: Treasury bonds (T-bonds) are fixed-rate U.S. government debt
securities with a maturity of 20 or 30 years (over 10 years). T-bonds pay
semiannual interest payments until maturity, at which point the face value of the
bond is paid to the owner. The 30-year bond is called a long bond
- Corporate bond: a type of debt security issued by a corporation and sold to
investors. The company gets the capital it needs and in return, the investor is paid
a pre-established number of interest payments at either a fixed or variable interest
rate. When the bond expires, or "reaches maturity," the payments cease and the
original investment is returned.
- Municipal bond: a debt obligation issued by a nonprofit organization, a private-
sector corporation, or another public entity using the loan for public projects, such
as constructing schools, hospitals, and highways.
- Foreign bond: a bond issued in a domestic market by a foreign entity in the
domestic market's currency as a means of raising capital. For foreign firms doing a
large amount of business in the domestic market, issuing foreign bonds, such as
bulldog bonds, Matilda bonds, and samurai bonds, is a common practice.

2. Par value; maturity date; original maturity

- Par value is the face value of a bond or a share of stock. Par value is set by the
issuer and remains fixed for the life of a security - unlike market value, which
fluctuates as a stock or bond changes hands on the secondary market.
- A maturity date is the date on which the principal amount of a note, draft,
acceptance bond, or other debt instrument becomes due. It also refers to the
termination or due date on which an installment loan must be paid back in full.
- Original date is the time between the issue date and the maturity date.

3. Coupon payment; coupon interest rate

- A coupon payment refers to the annual interest paid on a bond. Coupons are
expressed as a percentage of the face value and are paid from the issue date until
maturity.
- Coupon interest rate is the rate of interest paid by bond issuers on the bond's face
value. It is the periodic rate of interest paid by bond issuers to its purchasers. The
coupon rate is calculated on the bond's face value (or par value), not on the issue
price or market value.

4. Floating-rate bond; zero coupon bond;

- Floating-rate bond:A floating-rate note (FRN) is a debt instrument with a variable

interest rate. The interest rate for an FRN is tied to a benchmark rate.
- zero coupon bond: A zero-coupon bond is a bond with no coupon payments, bought at a
price lower than its face value, with the face value repaid at the time of maturity.

5. Convertible bond; warrant; putable bond; income bond; discount bond; premium bond;

- Convertible bond : A convertible bond is a fixed-income corporate debt security that

yields interest payments, but can be converted into a predetermined number of common
stock or equity shares
- Warrant : A warrant gives the holder the right to purchase a company’s stock at a specific
price and a specific date. In other words, a warrant is a long-term option to buy a given
stock at a fixed price. Such a type of warrant is called a call warrant, which gives the
right to buy the security. A put warrant gives an investor the right to sell the security.
- Putable bond :A put bond is a debt instrument that allows the bondholder to force the
issuer to repurchase the security at specified dates before maturity. The repurchase price
is set at the time of issue and is usually at par value (the face value of the bond).
- Income bond : An income bond is a type of debt security in which only the face value of
the bond is promised to be paid to the investor, with any coupon payments paid only if
the issuing company has enough earnings to pay for the coupon payment.
- Discount bond : A discount bond is a bond that is issued for less than its par—or face—
value. Discount bonds may also be a bond currently trading for less than its face value in
the secondary market. A bond is considered a deep-discount bond if it is sold at a
significantly lower price than par value, usually at 20% or more.
- Premium bond : A premium bond is a bond trading above its face value, or in other
words; it costs more than the face amount on the bond. A bond might trade at a premium
because its interest rate is higher than current rates in the market.

6. Yield to maturity (YTM); yield to call (YTC); current yield;

- Yield to maturity (YTM): the total rate of return earned when a bond makes all interest
payments and repays the original principal that is essentially a bond's internal rate of
return if held to maturity.
- yield to call (YTC) is the return a bondholder receives if the security is held until the
call date, prior to its date of maturity that applied to callable bonds, which are securities
that let bond investors redeem the bonds (or the bond issuer to repurchase them) early, at
the call price.
- current yield: a measure used for bonds, or other fixed interest rate investments, to
determine how much can be earned per year.

7. Interest rate risk; reinvestment rate risk;

- Interest rate risk is the potential for investment losses that can be triggered by a move
upward in the prevailing rates for new debt instruments. If interest rates rise, for instance,
the value of a bond or other fixed-income investment in the secondary market will
decline.
- Reinvestment risk refers to the possibility that an investor will be unable to reinvest cash
flows received from an investment, such as coupon payments or interest, at a rate
comparable to their current rate of return. This new rate is called the reinvestment rate.

8. Default risk; credit risk;

- Default risk is the risk a lender takes that a borrower will not make the required
payments on a debt obligation, such as a loan, a bond, or a credit card. Lenders and
investors are exposed to default risk in virtually all forms of credit offerings. A higher
level of default risk typically requires the borrower to pay a higher interest rate.
- Credit risk is the probability of a financial loss resulting from a borrower's failure to
repay a loan. Essentially, credit risk refers to the risk that a lender may not receive the
owed principal and interest, which results in an interruption of cash flows and increased
costs for collection.

9. Mortgage bond; debenture; subordinated debenture

- Mortgage bond: a type of bond that is protected by a mortgage on property that can be
sold, if necessary, to pay back the bond
- Debenture: a type of bond or other debt instrument that is unsecured by collateral. In
corporate finance, a debenture is a medium- to long-term debt instrument used by large
companies to borrow money, at a fixed rate of interest.
 - Subordinated debenture: an unsecured loan or bond that ranks below other, more senior
loans or securities with respect to claims on assets or earnings

QUESTIONS (7-7; 7-11)

1. Indicate whether each of the following actions will increase or decrease a bond’s yield to
maturity:

a. The bond’s price increases.

Decrease. When the bond price increases, the YTM needs to decrease to maintain the overall
return attractiveness. A higher purchase price lowers your effective annual return, so the YTM
adjusts to reflect that.

b. The bond is downgraded by the rating agencies.

Increase. When company's bonds are downgraded, the YTM of the bond will increase. This is
because the risk will increase. The bigger the risk, the bigger the return and of course more
chances of losing as well

Therefore, the YTM will increase.

c. A change in the bankruptcy code makes it more difficult for bondholders to receive payments
in the event the firm declares bankruptcy.

This action would likely increase the yield to maturity of the bond.

Because if the bankruptcy code makes it harder for bondholders to get paid back, the
bond becomes riskier. To compensate for this additional risk, investors will likely
demand a higher yield. In other words, they'll only buy the bond if it offers a potentially
higher return at maturity.

The market will perceive the bond as riskier due to the change in the bankruptcy code.
This perception will likely drive the price of the bond down. Since YTM considers both
price and coupon payments, a decrease in price will lead to an increase in YTM.

d. The economy seems to be shifting from a boom to a recession. Discuss the effects of the
firm’s credit strength in your answer.
If the economy entered a recession, then the possibility of a firm defaulting on its bond would
increase; consequently, its YTM would increase.

e. Investors learn that these bonds are subordinated to another debt issue.

Increase. Subordination leads to less probability of receiving cash flow and hence a higher risk
and hence higher yield. As a result of this increased risk, the yield to maturity (YTM) of the
subordinated bond would typically be higher compared to its YTM before becoming
subordinated. Investors require higher returns to compensate for the increased risk of being paid
later or potentially receiving less in case of default.Therefore, if a bond becomes subordinated to
another debt issue, its YTM would generally increase.

2. Why are convertibles and bonds with warrants typically offered with lower coupons than
similarly rated straight bonds?
The bondholder in case of convertible bonds has the option to exchange the convertible bond
into common stock shares at a fixed price and at his or her option.
Bonds with warrants are the type of options that allows the bondholder to buy the shares of
the company at a stated price.
Both convertibles and bonds with warrants offer the bondholders the chance for capital gains
(if stock price rises) as compensation to lower coupon rates. That is the reason why convertibles
and bonds with warrants offer lower coupon rates.
Straight bonds with similar ratings offer no capital gains to the bondholders.

PROBLEMS

7-1 Bond valuation: (7-1; 7-3; 7-5; 7-6)

1. Callaghan Motors’ bonds have 10 years remaining to maturity. Interest is paid annually;
they have a $1,000 par value; the coupon interest rate is 8 percent; and the yield to maturity is 9
percent. What is the bond’s current market price?

Maturity (N) = 10 years

Par value (F) = $1,000
Coupon rate = 8% = 0.08
Yield to maturity (YTM) = 9% = 0.09

PV = C∗¿ ¿ + ¿F¿
= 0.08∗1000∗¿ ¿ + 1000¿ ¿ = $935.82
 2. Nungesser Corporation’s outstanding bonds have a $1,000 par value, a 9 percent
semiannual coupon, 8 years to maturity, and an 8.5 percent YTM. What is the bond’s price?
YTM = Rate = I/YR = 8.5%/2 = 4.25%
The Payment is calculated as 9%/2 = 4.5% semi-annual payment.
Coupon payment = 4.5% on face value of the bond = 4.5% on ($1,000) = $45 → PMT =
45
FV = 1000
N = 8 x 2 = 16
⇒ PV = 1,028.60
PV = PMT * [ 1 - (1 + YTM)^(-N) ] / YTM + FV / (1 + YTM)^N
3. An investor has two bonds in his portfolio that both have a face value of $1,000 and pay a
10 percent annual coupon. Bond L matures in 15 years, while Bond S matures in 1 year.

a. What will the value of each bond be if the going interest rate is 5 percent, 8 percent, and 12
percent? Assume that there is only one more interest payment to be made on Bond S, at its
maturity, and 15 more payments on Bond L.

Bond S

C=annual coupon payment = 10% x $1,000 = $100

n= maturity = 1

FV = $1000

- r = 5%

- r =8%
 - r=12%

Bond L

C= 10% x 1000= 100

FV= $1000

n=17 years

- r = 5%

C C
PV (L)= +
1+r ¿ ¿

- r = 8%

C C
PV (L)= +
1+r ¿ ¿

- r = 12%

C C
PV (L)= +
1+r ¿ ¿

b. Why does the longer-term bond’s price vary more when interest rates change than does that of
the shorter-term bond?
The longer-term bond's price varies more than the price of the shorter-term bond when
interest rates change because long-maturity bonds are more sensitive to rate changes than
short-maturity bonds.

Another reason is that longer-term bonds have a longer duration and many more coupon
payments than short-term bonds which are closer to their maturity periods and have fewer
remaining coupon payments.

In addition, longer-term bonds are exposed to a greater probability of fluctuating interest

rates.
 4. An investor has two bonds in his or her portfolio, Bond C and Bond Z. Each matures in 4
years, has a face value of $1,000, and has a yield to maturity of 9.6 percent. Bond C pays a 10
percent annual coupon, while Bond Z is a zero coupon bond.

a. Assuming that the yield to maturity of each bond remains at 9.6 percent over the next 4 years,
calculate the price of the bonds at the following years to maturity and fill in the following table:

Years to Maturity Price of Bond C Price of Bond Z

4 $1,012.79 $693.04
3 $1,010.02 $759.57
2 $1,006.98 $832.49
1 $1,003.65 $912.41
0 $1,000 $1,000

7-2 Current yield and yield to maturity: (7-2; 7-4; 7-9; 7-10)

1. A bond has a $1,000 par value, 10 years to maturity, a 7 percent annual coupon, and sells
for $985.

a. What is its current yield?

Annual interest = 1,000 x 7% = $70

→ Current yield = Annual interest/ Current bond price = 70/985 = 7.11%

b. What is its yield to maturity (YTM)? PHẢI THỬ

Try k1= i (lãi suất danh nghĩa) = 7%
⇒ PV1= M = $1000 > PV(0) = $985
Try k2= 8%
⇒ PV2= $932 < PV(0) = $985
⇒ k0 = 7% + [(1000-985)/(1000-932)] * ( 8% - 7%)= 7.2%

c. Assume that the yield to maturity remains constant for the next 3 years. What will the price be
3 years from today? Tính giá khi còn 3 năm (n=7), YTM tính ở câu 2

Nhận xét giá 3 năm sau so với giá hiện tại (lớn hơn), giá tăng dần đến 1000, đáo hạn giá = 1000.
Đk: các yếu tố khác ko đổi (lợi tức,..)

PV = C∗¿ ¿ + ¿F¿
1000
= 0.07∗1000∗¿ ¿ + ¿ ¿ = $988.46

2. A firm’s bonds have a maturity of 10 years with a $1,000 face value, an 8 percent annual
coupon, and currently sell at a price of $1,100. What are their yield to maturity? What return
should investors expect to earn on this bond?
Cách 1:
Thử k2 = i (lãi suất danh nghĩa) = 8% ⇒ PV2 = M = $1000 < PV(0) = $1100

Thử k2 = i = 7% ⇒ PV2 = M = $1070 < PV(0) = $1100

Thử k1 = (phải nhỏ hơn k2) 6% ⇒ PV1 = $1147 > PV0 = $1100

⇒ k0 = 6% + [(1147-1100)/(1147-1070)] * ( 7% - 6%)= 0.066=6.6%

Cách 2:
k (max) = 8% ⇒ PV = M (min) = 1000
 k = 7% ⇒ PV (avg) = 1070
k(min) = ?? ⇒ PV(max) = 1100
⇒ k min ~ 0.066

3. Heymann Company bonds have 4 years left to maturity. Interest is paid annually, and the
bonds have a $1,000 par value and a coupon rate of 9 percent.

a. What is the yield to maturity at a current market price of (1) $829 or (2) $1,104?

(1) $829
Try k1= i (lãi suất danh nghĩa) = 9%
⇒ PV1= M = $1000 > PV(0) = $829
k1= 10%
…..
k1= 14%
⇒ PV1= $854> PV(0) = $829

Try k2 = 15%
⇒ PV2= $828.7 < PV(0) = $829
⇒ k0 = 14% + [(854-829)/(854-828.7)] * ( 15% - 14%)= 14.99%
(2) $1,104
Try k2= i (lãi suất danh nghĩa) = 9%
⇒ PV2= M = $1000 < PV(0) = $1,104
k2= 8%
….
k2= 6%
⇒ PV2= $1,103 < PV(0) = $1,104
Try k1 = 5%
⇒ PV1= $1,141 > PV(0) = $1,104
⇒ k0 = 5% + [(1,141-1,104)/(1,141-1,103)] * ( 6% - 5%)= 5.97%

b. Would you pay $829 for each bond if you thought that a “fair” market interest rate for such
bonds was 12 percent—that is, if rd 12 percent? Explain your answer.

Yes. At a price of $829, the yield to maturity, 15%, is greater than your required rate of return of
12%. If your required rate of return were 12%, you should be willing to buy the bond at any
price below $908.88. (công thức PV thay I=9%x1000, k=12%)

4. Hooper Printing Inc. has bonds outstanding with 9 years left to maturity. The bonds have
an 8 percent annual coupon rate and were issued 1 year ago at their par value of $1,000, but due
to changes in interest rates, the bond’s market price has fallen to $901.40. The capital gains yield
last year was -9.86 percent.

a. What is the yield to maturity?

Try k1= i (lãi suất danh nghĩa) = 8%
⇒ PV1= M = $1000 > PV(0) = $901.40
k1= 9%
⇒ PV1= $940 > PV(0) = $901.4
Try k2 = 10%
⇒ PV2= $885 < PV(0) = $901.40
⇒ k0 = 9% + [(940-901.4)/(940-885)] * ( 10% - 9%)= 9.7%

b. For the coming year, what is the expected current yield and the expected capital gains yield?
Current yield = annual interest payment / current market price of the bond = 80/901.4= 8.87%

Capital gains yield = YTM - current yield = 9.7 - 8.87 = 0.83%

COMPREHENSIVE/SPREADSHEET PROBLEM

7-21 Clifford Clark is a recent retiree who is interested in investing some of his savings in
corporate bonds. His financial planner has suggested the following bonds:

* Bond A has a 7 percent annual coupon, matures in 12 years, and has a $1,000 face value.

* Bond B has a 9 percent annual coupon, matures in 12 years, and has a $1,000 face value.

* Bond C has an 11 percent annual coupon, matures in 12 years, and has a $1,000 face value.

Each bond has a yield to maturity of 9 percent.

a. Before calculating the prices of the bonds, indicate whether each bond is trading at a premium,
discount, or at par.

b. Calculate the price of each of the three bonds.

c. Calculate the current yield for each of the three bonds.

a.
- Bond A - The coupon rate of the bond is lower than YTM it means, the bond is trading at
a discount
- Bond B - The coupon rate of the bond is equal YTM it means, the bond is trading at a par
value
- Bond C - The coupon rate of the bond is higher than YTM it means, the bond is trading at
a premium
b.
ADDITIONAL HOMEWORK
1. Consider a bond with a 10% coupon and with yield to maturity is 8%. If the bond’s YTM
remain constant, then in one year will the bond price be higher, lower or unchanged? Why?
In one year, the bond price will be lower. This is because as time goes on, the bond
value will decrease when yield to maturity is lower than the coupon rate

ý 2 (cách khác)

We can see that the Bond's Coupon rate of 10% is more than its current Yield to Maturity
of 8%.

This means that the Bond is selling at a premium. The bond is currently paying returns
in the form of coupon payments that are higher than the required rate of return of
investors, represented by YTM. YTM is derived from the prevailing market interest rates.

Now, the YTM and Price of a bond are inversely related to each other. So when the
YTM goes up and becomes more than the bond's coupon rate, the price of the bond falls
and it sells at a discount. Since it is paying coupons less than the market yield rate, it
becomes less valuable to investors.
When YTM falls below the coupon rate, the bond price increases and it sells at a
premium, because the bond is now paying coupons higher than the market yield, and
hence has become more valuable.

So, if the YTM were to remain unchanged at 8% after 1 year, compared to the current
situation, then the Bond price would also remain unchanged and it would continue to
sell at a premium, assuming that the coupon rate remains the same (which it generally
does)

2. Consider a bond paying a coupon rate of 10% annually when the market interest rate is
only 8%. The bond has three years until maturity.
a. Find the bond’s price today and six months from now after the next coupon is paid
- coupon payment per year = 1000 x 10% = $100
1
PV =C x 1− ¿ + 793.83 = 1051.54
¿¿

- Six months after the next coupon is paid

100 100
Bond price = + = 1035.66 SAI
1+ 8 % ¿ ¿

b. What is the total rate of return on the bond?

100+(1035.66−1051.54)
- rate of return = =8 %
1051.54
3. A bond with a coupon rate of 7% make annual coupon payment on Jan.15 of each year.
The Wall Street Journal reports the ask price is $800 for the bond on Jan.31 at 110:02. What is
invoice price of the bond? The coupon period has 360 days.
accrued interest = 7% x 100\
quoted ( price: 1000x110:02/32

bài số khác: A bond with a coupon rate of 7% makes semi-annual coupon payments on
January 15 and July 15 of each year. The Wall Street Journal reports the ask price for the
bond on January 30 at 100:02. What is the invoice price of the bond? The coupon period
has 182 days.
The reported bond price = 100: 2/32 percent of par = $1001.25
Accrued interest for last 15 days = Annual coupon payment / 2 x Day’s since last coupon
payment / Day’s separating coupon payment
 = $ 35 x (15/182)
= $2.8846
The invoice price/dirty price/full price = the reported price + accrued interest
= $10001.25 + $ 2.8846
= $ 1004.13

4. Consider a bond with a settlement date of Feb 22,2012, and a maturity date of Mar.15.2020.
The coupon rate is 5.5%. If the YTM of the bond is 5.34% (bond equivalent yield, => tính ngày
thực, annually coupon payment), what is the list price of the bond on the settlement date? What
is the accrued interest on bond? What is the full price of the bond?
n = 9 (2011-2020)
C = 5.5%x100 = 5.5 (giả sử par value = 100)
I = 5.34%
List price =

Days since last coupon payment = 17+30+31+30+31+31+30+31+30+31+31+21 = 344 days

(chỉ tính đến 21/2 - trước settlement date 1 ngày)
Accrued interest = annual coupon payment * days since last coupon payment/days separating
coupon payment
= 5.5 x 344/365
= $5.18

Full price = List price + Accrued interest = 101.12 + 5.18 = $106.3

5. Compute the value of a 5-year 7.4% coupon bond that pays interest: (1) annually and (2)
semiannually assuming that the appropriate discount rate is 5.6%.
(1) n = 5
FV = 100 (assumption)
I = $100x7.4% = $7.4
i = 5.6%
 (2) n = 5 x 2 = 10
FV = 100
I = $100 x (7.4% / 2) = $3.7
i = 5.6% / 2 = 2.8%

6. A. Assuming annual interest payments, what is the value of a 5-year 6.2% coupon bond
when the discount rate is (i) 4.5%; (ii) 6.2% and (iii) 7.3%
Par value (F) = $1,000 (assumed for most bonds)
Coupon rate = 6.2% (annual)
Maturity (N) = 5 years
Discount rate (YTM) = varies (i) 4.5%, (ii) 6.2%, (iii) 7.3%

i) Discount Rate (YTM) = 4.5%:

PV = C∗¿ ¿ + ¿F¿
= 62∗¿ ¿ + 1000
¿¿
≈ $1,141.73
ii) Discount Rate (YTM) = 6.2% (same as coupon rate):
PV = $1,000

iii) Discount Rate (YTM) = 7.3%:

= 62∗¿ ¿ + 1000¿¿
≈ $867.86

B. Show that the results obtained in part (A) consistent with the relationship between the
coupon rate, discount rate, and price relative to par value.
+) Discount Rate (YTM) < Coupon Rate (C): (e.g., 4.5% < 6.2%)
→ The bond price is higher than its par value ($1,141.73 > $1,000).
This happens because investors are willing to pay more for a bond offering a higher return
(coupon rate) than the prevailing market rate (YTM).
+) Discount Rate (YTM) = Coupon Rate (C): (e.g., 6.2% = 6.2%)
→ The bond price is equal to its par value ($1,000.00).
This reflects a fair valuation because the present value of future cash flows exactly matches the
face value, considering the current market rate.
+) Discount Rate (YTM) > Coupon Rate (C): (e.g., 7.3% > 6.2%)
The bond price is lower than its par value ($867.86 < $1,000).
This occurs because investors demand a higher return (YTM) than what the bond offers (coupon
rate). As a result, they are willing to pay less for it.

7. A 4-year 5.8% coupon bond is selling to yield 7%. The bond pays interest annually. One
year later interest decrease from 7% to 6.2%
a. What is the price of the 4-year 5.8% coupon bond selling to yield 7%.

- Bond Valuation Formula:

PV = C * [ 1 - (1 + YTM)^(-N) ] / YTM + F / (1 + YTM)^N
Where:

PV = Present value (price of the bond)

C = Annual coupon payment (5.8% of $1,000 par value = $58)
YTM = Yield to maturity (7%)
N = Number of years to maturity (4 years)
F = Par value (face value of the bond = $1,000)
⇒ PV = $58 * [ 1 - (1 + 0.07)^(-4) ] / 0.07 + $1,000 / (1 + 0.07)^4
PV ≈ $959.35

b. What is the price of this bond one year later assuming the yield is unchanged at 7%?

N = Number of years to maturity (4 years - 1 year passed) = 3 years

→ PV = $58 * [ 1 - (1 + 0.07)^(-3) ] / 0.07 + $1,000 / (1 + 0.07)^3
PV ≈ $968.51
 c. What is the price of this bond one year later if instead of the yield being unchanged the
yield decrease to 6.2%

⇒ PV = $58 * [ 1 - (1 + 0.062)^(-3) ] / 0.062 + $1,000 / (1 + 0.062)^3

PV ≈ $989.35

d. Complete the following:

Price change attributable to moving to maturity (no change in discount rate)
Price change attribute to an increase in the discount rate from 7% to 6.2%
Total price change

+) Price Change Due to Maturity (Constant Yield):

Initial price (Year 1): $959.35
Price after one year with constant 7% YTM (Year 2): $968.51
Price Change (Maturity, Constant Yield) = Year 2 Price - Year 1 Price
= $968.51 - $959.35
= $9.16 (increase)

+) Price Change Due to Yield Decrease:

Price after one year with constant 7% YTM (Year 2): $968.51 (from part b)
Price after one year with decreased 6.2% YTM (Year 2): $989.35 (from part c)
Price Change (Yield Decrease) = Year 2 Price (6.2% YTM) - Year 2 Price (7% YTM)
= $989.35 - $968.51
= $20.84 (increase)

⇒ Total Price Change (Year 1 to Year 2):

Total Price Change = Price Change (Maturity) + Price Change (Yield Decrease)
= $9.16 + $20.84
= $29.99 (increase

8. What is the value of a 5-year 5.8% annual coupon bond if the appropriate discount rate
for discounting each cashflow is as follow:

Year discount rate (%)

1 5.9

2 6.4

3 6.6

4 6.9

5 7.3
- Coupon payment : C= 1000 x 5.8% = $58
- Present value of each coupon payment
C 58
PV(1) = = =54.76
1+ r 1+5.9 %
C 58
PV(2) = = =54.51
1+ r 1+6.4 %
C 58
PV(3) = = =54.4
1+ r 1+6.6 %
C 58
PV(4) = = =54.25
1+ r 1+6.9 %
C 58
PV(5) = = =54.05
1+ r 1+7.3 %
- Present value of face value at maturity
F 1000
PV (F)= =
1+r ¿ ¿ =931.96
-> Bond value = 54.76 + 54.51 + 54.4 + 54.25 + 54.05 + 931.96 =1203.93

9. Az

10. Suppose that today’s date is April.15. A bond with a 10% coupon paid semiannually
every Jan. 15 and July.15 is listed in The Wall Street Journal as selling at an ask price of 101:04.
If you buy the bond from a dealer today, what price will you pay for it?

11. Suppose that a bond is purchased between coupon periods. The days between the
settlement date and the next coupon period is 115. There are 183 days in the coupon period.
Suppose that the bond purchased has a coupon rate of 7.4% and there are 10 semiannual coupon
payments remaining.
a. What is the dirty price for this bond if a 5.6% discount rate is used?
b. What is the accrued interest for this bond?
c. What is the clean price?
 a. n = 10
C = (7.4%:2)x100 = 3.7 (giả sử par value = 100) = annual coupon payment
I = 5.6%:2 = 2.8%
Dirty price (full price) = 108.87

b. Accrued interest = annual coupon payment * days since last coupon payment/days
separating coupon payment
= 3.7 x (183-115)/183
= 1.375
c. Clean price = Dirty price - Accrued interest
= 108.87 - 1.375
= 107.49

12. Consider a 7.25% coupon, Fannie corporate bond that matures on May 15, 2030.
Calculate the accrued interest for $1 million par value position assuming a settlement date of
October 16, 2007. The last coupon payment was on May 15, 2007. Use the 30/360 day count.
We have:
Par value (F) = $1,000,000
Coupon rate (C) = 7.25% (annual)/
Settlement date (settlement) = October 16, 2007
Last coupon payment date (last_coupon) = May 15, 2007
Day count convention = 30/360 (30 days in a month, 360 days in a year)

The number of days between the last coupon payment date and the settlement date:
Days in May (from last coupon): 30 - 15 + 1 = 16 days (tính cả ngày 15)
Days in June: 30 days
Days in July: 30 days
Days in August: 30 days
Days in September: 30 days
Days in October (until settlement): 15 days (Ko tính ngày 16)
⇒ Total accrued days = 16 + 30 + 30 + 30 + 30 + 15 = 151 days
 Accrued interest = annual coupon payment * days since last coupon payment/days separating
coupon payment
= 7.25%x1,000,000x(151/360)
= $30409.72

13. Suppose that a U.S. Treasury note maturing August 15, 2009 is purchased with a
settlement date of July 31, 2007. The coupon rate is 3% and the maturity value of the position is
$1,000,000. The next coupon date is August 15, 2007.
a. What is the full (dirty) price of this bond given the required yield is 4.591%? (Note there are
181 days in the coupon period and there are 15 days between the settlement date and the next
coupon date.)
b. What is the accrued interest? (Note there are 166 days between the last coupon date and the
settlement date.)
c. What is the flat (clean) price?

a. Calculation of full price:

n = 5 (5 semiannual coupon payments remaining)
C = (3%:2)x1,000,000 = 15,000
I = 4.591%:2 = 2.2955%
Full price =

b. Accrued interest = semiannual coupon payment * days since last coupon payment/days
separating coupon payment
= 15,000x(166/181)
= $13,757
c. Flat price = Full price - Accrued interest = 983,075 - 13,757 = $969,318

Bài chữa onl:

M = 1,000$
i = 9%
issue date: early 2020
maturity date: early 2030
at present: early 2024
annual payment
a. With YTM = 8% => What’s price of bond?

1,000
PV = 9 %∗1,000∗¿ ¿ + (1+8 % )❑6 = $1,046
b. With market price at 101% of Par => What’s YTM? => What’s your decision, buy or
not? Why?
PV(0) = Market price = 101%*1,000 = 1,010
Try k1= 8%
⇒ PV1= $1,046 > PV(0) = $1,010

Try k2 = 9%
⇒ PV2= $1,000 < PV(0) = $1,010
⇒ k0 = 8% + [(1,046-1,010)/(1,046-1,000)] * ( 9%-8%) = 8.78%
● Decide to buy the bond because
c. If the interest rate increases 1%, how will the price change?
- Calculation of The percentage price changes of a bond due to D:

(đvị: years)
● Modified D = D/(1+k) (years) = 4.9/(1+8.78%) = 4.5
● The percentage price changes of a bond due to D = - modified D * percentage
changes in interest rate
= - 4.5*1% = - 4.5%
- Calculation of The percentage price changes of a bond due to C:
The percentage price changes of a bond due to C = ½ convexity * (the percentage changes in
interest rate)2
= ½*26.9 * (1%¿2 = 0.1345%

The percentage changes in price of a bond = The percentage price changes of a bond due to D +
The percentage price changes of a bond due to C
= - 2.5% + 0.087%
= - 4.3655%
TRUE - FALSE
1. Nếu tỷ lệ lợi tức yêu cầu của nhà đầu tư cao hơn lãi suất coupon, giá trị thị trường
của trái phiếu sẽ thấp hơn mệnh giá. (If the investor's required rate of return is
higher than the coupon rate, the bond's market value will be less than its face value)
TRUE. When the investor's required rate of return is higher than the coupon rate of a bond, the
bond will sell at a discount. Since it is paying coupons less than the market yield rate, it becomes
less valuable to investors.
2. Đối với thị trường đạt mức hiệu quả dạng mạnh, nhà đầu tư nên sử dụng chiến lược
quản lý danh mục chủ động. (For markets that achieve strong form efficiency,
investors should use a proactive portfolio management strategy)
FALSE. In a strong form efficient market, a passive portfolio management strategy, also known
as a buy-and-hold strategy, is generally considered more effective than a proactive strategy.
Because in a Strong form efficient market, Stock prices fully reflect all available information.
Therefore, actively picking stocks to beat the market is nearly impossible in the long run. (hỏi
gemini)
3. Không cần mở tài khoản nhà đầu tư vẫn có thể tiến hành mua bán chứng khoán
niêm yết trên SGDCK (Without opening an account, investors can still buy and sell
securities listed on the Stock Exchange)
FALSE. According to current regulations in Vietnam, buying and selling securities listed on the
Stock Exchange must be done through a securities trading account opened at a securities
company licensed by the State Securities Commission (SSC).
4. Lệnh thị trường là lệnh khách hàng sẽ ghi mức giá trong lệnh - A market order is an
order where the customer will write the price in the order
FALSE. A market order (MP) is an order to buy or sell securities at the best price available on
the market at the time the order is entered into the trading system. Investors placing market
orders do not specify the price in the order but only specify the volume of securities they want to
buy or sell.
5. TTCK thứ cấp không làm tăng vốn tổ chức phát hành - The secondary stock market
does not increase the issuing organization's capital
TRUE. A secondary securities market is a place where securities that have already been issued
on the primary market are traded. Therefore, trading activities on the SSM do not increase capital
for the issuing organization.
6. Các phiên giao dịch chứng khoán trên TTCK Việt Nam được thực hiện vào buổi
sáng tất cả các ngày trong tuần trừ thứ 7, Chủ nhật và ngày lễ - Stock trading
sessions on the Vietnam stock market are conducted in the morning on all days of
the week except Saturdays, Sundays and holidays.
FALSE. Stock trading sessions on the Vietnam stock market are conducted as follows:
• Securities opening hours: from 9am
•Closing time of the stock exchange: from 3:00 p.m
• Non-trading lunch break: from 11:30 a.m. to 1:00 p.m
Stock trading sessions on the stock market are also carried out in the afternoon
 7. Trái chủ có quyền kiểm soát đối với doanh nghiệp phát hành - bondholders have
control over the issuing company
FALSE. The relationship between the bondholder and the issuing enterprise is a debt
relationship, not an ownership relationship. Therefore, bondholders do not have control over the
issuing company, but only have the right to request payment of interest and bond principal
according to commitments in the bond contract.
8. Tổ chức phát hành cổ phiếu thường chịu ràng buộc bởi nghĩa vụ thanh toán với cổ
đông - Organizations that issue common shares are bound by payment obligations
to shareholders.
FALSE. Stocks are indefinite capital securities, not bound by payment obligations [According to
Stock Market Slide chapter 2 - characteristics of common stocks]. According to Clause 2, Article
135, Law on Enterprises 2020, in case an enterprise makes a loss or has a negative profit after
tax, the enterprise is not bound by payment obligations to shareholders.
9. Cơ chế giao dịch trên thị trường OTC là cơ chế thương lượng, thỏa thuận song
phương giữa hai bên mua bán. - The trading mechanism on the OTC market is a
bilateral negotiation and agreement mechanism between the two buying and selling
parties.
TRUE. The OTC market operates based on price and quantity agreement between buyers and
sellers, without an actual trading location.
1. Cổ phiếu ưu đãi là công cụ huy động vốn vô thời hạn (preferred stock-chap2)
Correct. Preference shares are capital securities > A tool to raise capital indefinitely
4. Chứng khoán phái sinh là các công cụ tài chính mà giá trị của nó phụ thuộc vào giá trị,
trạng thái của hàng hóa cơ sở (chap2)
TRUE. A derivative security is a financial contract whose value is derived from an underlying
asset. (A derivative is set between two or more parties that can trade on an exchange or over-
the-counter (OTC).)
5. Giá trị của trái phiếu có quan hệ thuận chiều với sự thay đổi của lãi suất (chap2)
FALSE. Bonds have an inverse relationship to interest rates. When the cost of borrowing money
rises (when interest rates rise), bond prices usually fall, and vice-versa.
(Most bonds pay a fixed interest rate that becomes more attractive if interest rates fall, driving
up demand and the price of the bond. Conversely, if interest rates rise, investors will no longer
prefer the lower fixed interest rate paid by a bond, resulting in a decline in its price.)
4. Tính nhạy cảm của giá trị trái phiếu đối với sự thay đổi lãi suất không chỉ phụ thuộc vào
độ dài thời gian cho đến khi đáo hạn mà còn phụ thuộc vào phương thức trả lãi và gốc
(chap2 - rela5)
TRUE. – Sensitivity to interest rate changes of bond price depends not only on maturity but also
type of payments
For the same coupon rate, long-term bonds will have a larger price change than bonds with
shorter-terms (that means long bonds are more sensitive to interest rate changes than short
bonds).
For the same maturity, bonds with lower coupon rate will have a larger price change than bonds
with higher coupon rate (that means low coupon rate bonds are more sensitive to interest rate
changes than high coupon rate bonds)
5. Doanh nghiệp phát hành trái phiếu nhằm đảm bảo cho doanh nghiệp nguồn vốn ổn định,
hạn chế sự giám sát của ngân hàng
true. Corporate’s purposes of bond issuance:
– Ensuring stable funding, limiting to the supervision of banks
– Do not make dilution the ownership of shareholders
– The cost of debt is lower than cost of equity
8. Đối với lệnh dừng để mua, giá dừng được đặt thấp hơn giá thị trường (For stop orders to
buy, the stop price is set below the market price)
false: Stop-Buy order: the investor specifies a buying price that is above the current market price
of the stock
SGDCK thực chất là một doanh nghiệp cung cấp dịch vụ CK và hoạt động vì mục tiêu lợi
nhuận. (The Stock Exchange is essentially an enterprise that provides securities services
and operates for profit. )
Sai. SGDCK hoạt động vì mục tiêu lợi nhuận hoặc không vì mục tiêu lợi nhuận. hiện nay các sở
giao dịch chứng khoán tại Việt Nam hoạt động không vì mục tiêu lợi nhuận hàng là một thị
trường để phục vụ phát triển thị trường chứng khoán
1 . The first securities law in Vietnam took effect before the Vietnamese stock market was
born - Luật chứng khoán đầu tiên tại Việt Nam có hiệu lực trước khi thị trường chứng khoán
Việt Nam ra đời.
False. The first securities law in Vietnam took effect in 2007, while the Vietnamese stock market
was established in 2000
2. According to current regulations, Vietnamese commercial banks are allowed to
underwrite stock issuance.- Theo quy định hiện hành, các NHTM Việt nam được phép tiến
hành bảo lãnh phát hành cổ phiếu.
False , because according to the Law on Credit Institutions 2010, commercial banks are only
allowed to underwrite the issuance of government bonds and corporate bonds.
3.When a company pays stock dividends, the ownership ratio of current shareholders will
be changed - Khi công ty trả cổ tức bằng cổ phiếu, tỷ lệ sở hữu của cổ đông hiện tại sẽ bị thay
đổi.
False, because when the company pays dividends in shares, each year the shareholder holds how
many shares will be paid according to the corresponding ratio. At the same time, the number of
shares of the company after payment also increases. corresponding to the payout ratio so it does
not affect the ownership ratio of each shareholder
4. For coupon bonds, if the nominal interest rate (coupon rate ) is lower than the required
rate of return (ytm ??? ) , the bond value will be higher than the face value - Đối với trái
phiếu coupon, lãi suất danh nghĩa thấp hơn tỷ lệ lợi tức yêu cầu thì giá trị trái phiếu cao hơn
mệnh giá.
False, because according to the second basic relationship in bond valuation, for coupon bonds If
the nominal interest rate is lower than the required rate of return, the bond value will be lower
than its face value.
5. In a Dutch auction, the highest winning interest rate will be the interest rate applicable
to all winning bidders - Trong đấu giá theo kiểu Hà Lan (Dutch Auction), lãi suất trúng thầu
cao nhất sẽ là lãi suất áp dụng chung cho mọi đối tượng trúng thầu
True, if the initial price is according to the Dutch method, the highest winning interest rate will
be the interest rate applicable to all winning bidders
7. The risk and profitability of stocks have an inverse relationship.- Tính rủi ro và sinh lời
của chứng khoán có mối quan hệ tỷ lệ nghịch.
False . The risk level and liquidity of securities can also be related to each other. Securities when
there is a high risk, liquidity can be low and lead to high profitability. In turn, for securities with
high liquidity and low risk, the profitability may be low.
Thị trường chứng khoán phi tập trung tạo thị trường cho các chứng khoán của các công ty
vừa và nhỏ, các chứng khoán chưa đủ điều kiện niêm yết. (The OTC market provides a
marketplace for securities of small and medium-sized enterprises (SMEs) and securities
that do not meet the listing requirements of centralized exchanges. )
TRUE. Unlike centralized exchanges with stringent listing requirements, the OTC market offers
a more flexible platform. This allows smaller companies or those in earlier stages to raise capital
by selling their securities without needing to meet the stricter criteria of an exchange.
Giá trị của trái phiếu có quan hệ thuận chiều với sự thay đổi của lãi suất.
FALSE
There is an inverse relationship between interest rates and bond prices. The price of the bond is
the present value of the cash flows. When market interest rates are higher, cash flows are
discounted at a larger interest rate, thus leading to lower bond prices and vice-versa

Câu 2: Ở Việt Nam hiện nay, một CTCK muốn đki thực hiện nghiệp vụ tự doanh phải đáp
ứng yêu cầu về vốn điều lệ tối thiểu 25 tỉ đồng.
FALSE. In Article 175 of Decree 155/2020/ND-CP, a securities company that wants to register
for self-trading operations must meet the minimum charter capital requirement of 50
billion VND.
Tại Điều 175 Nghị định 155/2020/NĐ-CP quy định về vốn điều lệ tối thiểu cho các nghiệp vụ
kinh doanh của công ty chứng khoán như sau:
Vốn điều lệ tối thiểu
1. Vốn điều lệ tối thiểu cho các nghiệp vụ kinh doanh của công ty chứng khoán tại Việt Nam như
sau:
a) Môi giới chứng khoán: 25 tỷ đồng;
b) Tự doanh chứng khoán: 50 tỷ đồng;
c) Bảo lãnh phát hành chứng khoán: 165 tỷ đồng;
d) Tư vấn đầu tư chứng khoán: 10 tỷ đồng.
2. Vốn tối thiểu cấp cho chi nhánh công ty chứng khoán nước ngoài tại Việt Nam là 10 tỷ đồng.
3. Vốn điều lệ tối thiểu của công ty quản lý quỹ, vốn tối thiểu cấp cho chi nhánh công ty quản lý
quỹ nước ngoài tại Việt Nam là 25 tỷ đồng.
4. Trường hợp tổ chức đề nghị cấp phép cho nhiều nghiệp vụ kinh doanh, vốn điều lệ tối thiểu là
tổng số vốn tương ứng với từng nghiệp vụ đề nghị cấp phép.
Article 175 of Decree 155/2020/ND-CP stipulates the minimum charter capital for business
operations of securities companies as follows:
Minimum charter capital
1. Minimum charter capital for business operations of securities companies in Vietnam is as
follows:
a) Stock brokerage: 25 billion VND;
b) Self-trading of securities: 50 billion VND;
c) Securities issuance guarantee: 165 billion VND;
d) Securities investment consulting: 10 billion VND.
2. Minimum capital granted to branches of foreign securities companies in Vietnam is 10 billion
VND.
3. The minimum charter capital of a fund management company and the minimum capital
granted to a branch of a foreign fund management company in Vietnam is 25 billion VND.
4. In case an organization requests licensing for many business operations, the minimum charter
capital is the total capital corresponding to each business operation requested for licensing.
câu 3: Ở Việt Nam hiện nay, một nhà đầu tư chỉ được mở 1 tài khoản giao dịch tại 1 công
ty chứng khoán. (In Vietnam today, an investor can only open 1 trading account at 1
securities company.)
in Clause 2, Article 6 of Circular 120/2020/TT-BTC guiding on transactions on the stock market
issued by the Minister of Finance, Investors are allowed to open many securities trading accounts
according to the principle that at each securities company, investors are only allowed to open 01
securities trading account
Các nhà đầu tư có thể tiến hành giao dịch mua bán chứng khoán thông qua công ty quản lý
quỹ. (Investors can conduct stock trading transactions through the fund management
company)
False. According to current regulations of Vietnamese law, investors can only trade securities
through securities companies licensed to operate by the State Securities Commission. Fund
management companies are not allowed to conduct stock brokerage activities, including buying
and selling securities for customers.
CHƯƠNG 1
1. Đổi với thị trường đạt mức hiệu quả dạng mạnh, nhà đầu tư nên sử dụng chiến lược
quản lý danh mục chủ động. (For markets that achieve strong form efficiency, investors
should use a proactive portfolio management strategy. )
False. When the market is strong-form efficient, no amount of analysis can bring superior returns
to investors → For the market to be strong-form efficient, investors should use a management
strategy passive portfolio [According to the stock market slides chapter 1 - efficient market
hypothesis
2. Nhà đầu tư có tổ chức là các định chế đầu tư, thương xuyên mua bán chứng khoán với số
lượng lớn trên thị trường. (Organized investors are investment institutions that regularly
buy and sell securities in large quantities on the market.)
True This is the concept of organized investors [According to Gtr Stock Market page 9].
Some institutional investors can be mentioned as: Investment funds, commercial banks,
securities companies
3. Trên TTCK, hành vi có tiêu cực là việc mua bán lại cổ phiếu của tổ chức niêm yết
(On the stock market, negative behavior is the re-buying and selling of shares of listed
organizations.)
False. The secondary market is where the resale of shares of listed organizations takes place. The
secondary market facilitates capital circulation, increases the liquidity of securities and
determines the price of securities issued on the primary market. Increasing the liquidity of stocks
also increases the popularity of stocks and reduces risks for investors
4. TTCK sơ cấp là thị trưởng làm tăng tính thanh khoản của chứng khoán. (The primary
stock market is a market that increases the liquidity of securities.)
False. The primary stock market creates a "channel" to attract and mobilize the public's idle
money to convert into investment capital for the economy. The new secondary stock market is
the market that increases the liquidity of issued securities
5 . TTCK thứ cấp không làm tăng vốn của tổ chức phát hành (The secondary stock market
does not increase the capital of the issuer.)
True. The new primary stock market is the market that increases the capital of the issuer. The
secondary stock market is just a market for trading, buying, selling, and exchanging securities
that have been issued for the purpose of making profits and moving investment capital. On
secondary markets, the proceeds from the sale of securities do not belong to the issuer but to the
investor selling the securities.
6 .Thị trường sơ cấp là thị trường phát hành chứng khoán. (The primary market is the
market for issuing securities)
True. The primary market or level 1 market is the market where securities are issued or where
securities are bought and sold for the first time. [According to Gtr Stock Market page 15]
CHƯƠNG 2
1. Công ty luôn phải trả cổ tức cho cổ đông khi công ty có lợi nhuận. - The company
must always pay dividends to shareholders when the company is profitable.
FALSE. According to Clause 2, Article 135, Law on Enterprises 2020, the company does not
have to pay dividends to shareholders even if the business is profitable in case the after-tax
profits are retained and put into the item "Undistributed after-tax profits". ” (to reinvest, offset
losses, buy treasury shares,... or increase the dividend payout ratio in the following years) or
appropriate funds approved by the General Meeting of Shareholders
2. Nếu tỷ lệ lợi tức yêu cầu của nhà đầu tư cao hơn lãi suất Coupon, giá trị thị trường
(If the investor's required rate of return is higher than the coupon rate, the bond's
market value will be less than its face value)
TRUE. When the investor's required rate of return is higher than the coupon rate of a bond, the
bond will sell at a discount. Since it is paying coupons less than the market yield rate, it becomes
less valuable to investors.
3. Tổ chức phát hành cổ phiếu thường chịu ràng buộc bởi nghĩa vụ thanh toán với cổ
đông.
FALSE. Stocks are indefinite capital securities, not bound by payment obligations [According to
Stock Market Slide chapter 2 - characteristics of common stocks]. According to Clause 2, Article
135, Law on Enterprises 2020, in case an enterprise makes a loss or has a negative profit after
tax, the enterprise is not bound by payment obligations to shareholders.
4. Trái chủ có quyền kiểm soát đối với DN phát hành. - Bondholders have control over
the issuing enterprise.
FALSE. Bonds are debt securities, a type of security that stipulates the issuer's obligation to pay
the debtor a certain amount of money, including principal and interest, within specific periods of
time. Bondholders are considered creditors and do not have the right to control the issuing
company [According to the stock market slides chapter 2 - characteristics of bonds]
5 .Cổ phiếu là chứng khoán nợ. (Stocks are debt securities.)
FALSE. Stock is a type of security that confirms the legal rights and interests of the owner over a
portion of the capital of the issuing organization. Stocks are equity securities, bonds are debt
securities
6. (Cổ phiếu ưu đãi là công cụ huy động vốn vô thời hạn.) Preferred shares are a tool to
raise capital indefinitely.
True. Preference shares are capital securities > A tool to raise capital indefinitely
7. Cổ tức của cổ phiếu ưu đãi là đối tượng được khấu trừ thuế thu nhập DN. (Dividends on
preferred stocks are subject to corporate income tax deductions.)
False. Dividends on preferred stocks are taken from after-tax profits to be distributed to
shareholders. They are not included in Expenses, so they are not deductible from corporate
income tax.
8. Chứng khoán phái sinh là các công cụ tài chính mà giá trị của nó phụ thuộc vào giá trị,
trạng thái của hàng hóa cơ sở. (Derivative securities are financial instruments whose value
depends on the value and state of the underlying commodity)
True. According to the stock market slides chapter 2 - characteristics of derivative securities
9. Cổ phiếu ưu đãi đem lại cho người nắm giữ quyền sở hữu đối với tổ chức phát hành.
(Preferred stock gives the holder ownership of the issuer.)
True. Preference shares are equity securities → Give the holder ownership of the issuer
1. Chứng khoán phái sinh làm tăng thêm tính hấp dẫn cho các loại chứng khoán, tăng
tính sôi động cho thị trường. (Derivatives increase the attractiveness of securities
and increase the excitement of the market)
Đúng. CK phái sinh được hình thành trên cơ sở các CK gốc, nhằm bảo vệ quyền lợi của người sở
hữu CK gốc, phòng ngừa rủi ro, tạo lợi nhuận,... từ đó góp phần tăng tính hấp dẫn cho các chứng
khoán gốc, tăng tính sôi động cho thị trường. Đây cũng là đặc điểm của chứng khoán phái sinh
được trình bày trong [Slide TTCK chương 2 – phần CK phái sinh
 (Derivative securities are formed on the basis of original securities, to protect the rights of
original securities owners, prevent risks, create profits,... thereby contributing to increasing the
attractiveness of original securities. , increasing the excitement of the market. This is also the
characteristic of derivative securities presented in
2. Giá trị của trái phiếu có quan hệ thuận chiều với sự thay đổi của lãi suất.(The value
of bonds is positively related to changes in interest rates.)
Sai. Khi lãi suất trên thị trường giảm thì tiết kiệm giảm, đầu tư tăng. TP là một dạng đầu tư nên
giá trị của trái phiếu và lãi suất có quan hệ ngược chiều. Đây cũng là quan hệ cơ bản thứ nhất
trong định giá TP(When market interest rates decrease, savings decrease and investment
increases. Bonds are a form of investment, so the value of bonds and interest rates have an
inverse relationship. This is also the first basic relationship in city valuation)
3. Giá trị thực của chứng khoán chính là giá của chứng khoán trên thị trường(.The
real value of a security is the price of the security on the market.)
Sai. Giá trị thực của CK là giá trị hiện tại của những luồng tiền trong tương lai dự tính thu được
từ chứng khoán đó, được chiết khấu về thời điểm hiện tại với tỷ lệ lợi tức yêu cầu thích hợp của
nhà đầu tư. Còn giá của chứng khoán trên thị trường có thể dao động xung quanh giá trị thực của
nó. (The real value of a security is the present value of the future cash flows expected to be
received from that security, discounted to the present time at the investor's appropriate required
rate of return. The price of securities on the market can fluctuate around its real value.)
4. Khi lãi suất trên thị trường giảm sẽ làm giá trái phiếu tăng.(When market interest
rates decrease, bond prices will increase.)
Đúng. Khi lãi suất trên thị trường giảm thì tiết kiệm giảm, đầu tư tăng. TP là một dạng đầu tư
nên giá trị của trái phiếu và lãi suất có quan hệ ngược chiều. Đây cũng là quan hệ cơ bản thứ nhất
trong định giá TP
(When market interest rates decrease, savings decrease and investment increases. Bonds are a
form of investment, so the value of bonds and interest rates have an inverse relationship. This is
also the first basic relationship in city valuation)
5. Khi nền kinh tế bị khủng hoảng, nhà đầu tư chọn phương án bán quyền chọn bán. (When
the economy is in crisis, investors choose to sell put options)
Đúng. Vì đối với quyền chọn bán thì giá trị thị trường của CK cơ sở và giá của quyền chọn bán
tăng (giảm) ngược chiều. Vì thế khi nền kinh tế khủng hoảng, giá thị trường của CK cơ sở giảm
nên giá của quyền chọn bán tăng, vì vậy nhà đầu tư chọn phương án bán quyền chọn bán.
(Because for put options, the market value of the underlying stock and the price of the put option
increase (decrease) in opposite directions. Therefore, when the economy is in crisis, the market
price of the underlying stock decreases, so the price of put options increases, so investors choose
to sell put options.)
6. Tính nhạy cảm của giá trị trái phiếu đối với sự thay đổi lãi suất không chỉ phụ thuộc vào
độ dài thời gian cho đến khi đáo hạn mà còn phụ thuộc vào phương thức trả lãi và gốc.
(The sensitivity of a bond's value to changes in interest rates depends not only on the length
of time until maturity but also on the method of payment of interest and principal.)
Đúng. Đây là quan hệ cơ bản thứ 5 trong định giá trái phiếu [Theo slide TTCK chương 2 – phần
các quan hệ cơ bản trong định giá TP (This is the 5th basic relationship in bond valuation
[According to the stock market slide chapter 2 - section on basic relationships in bond valuation)
7. Tính rủi ro và sinh lời của chứng khoán có mối quan hệ cùng chiều.(Risk and
profitability of stocks have a positive relationship.)
Đúng. Khả năng sinh lợi bao giờ cũng quan hệ chặt chẽ với rủi ro tài sản, thể hiện trong nguyên
lý – mức độ chấp nhận rủi ro càng cao thì lợi nhuận kì vọng càng lớn [Theo Gtr TTCK tr 76].
(Profitability is always closely related to asset risk, expressed in the principle - the higher the
level of risk tolerance, the greater the expected profit .
8. Rủi ro lớn đồng nghĩa với việc tính thanh khoản thấp, Duration cao ≥ tính sinh lợi cao.
Trái phiếu dài hạn có rủi ro lãi suất lớn hơn so với trái phiếu ngắn hạn.
(Big risk means low liquidity, high Duration ≥ high profitability, Long-term bonds have
greater interest rate risk than short-term bonds.)
Đúng. Đây là quan hệ cơ bản thứ 4 trong định giá trái phiếu [Theo slide TTCK chương 4 – phần
các quan hệ cơ bản trong định giá trái phiếu](This is the 4th basic relationship in bond pricing )
9. trái phiếu dài hạn có rủi ro lãi suất lớn hơn trái phiếu ngắn hạn(Long-term bonds have
greater interest rate risk than short-term bonds)
true. This is the basic relationship in bond valuation
CHƯƠNG 3
Do hiệu ứng pha loãng khi phát hành cổ phiếu thêm, giá cổ phiếu tăng.
Due to the dilution effect of issuing additional shares, the stock price increases.
Wrong.
As the number of outstanding shares increases, each existing corporate shareholder owns a
smaller portion of the company, causing each share to lose value and the share price to decrease.
Doanh nghiệp phát hành trái phiếu nhằm đảm bảo cho doanh nghiệp nguồn vốn ổn định,
hạn ché sự giám sát của ngân hàng.
Enterprises issue bonds to ensure stable capital for the enterprise and limit bank
supervision.
Correct. Bonds are a tool for mobilizing long-term debt > Enterprises issue bonds to ensure
businesses have a stable source of capital. Bondholders do not have the right to control bond
issuers > Limit bank supervision
Hồ sơ xin phép phát hành chứng khoán tùy thuộc vào việc phát hành ra công chúng hay
chào bán riêng lẻ. (The application for permission to issue securities depends on whether it
is issued to the public or offered privately.)
Correct. When offering securities to the public, businesses need to rely on the provisions of the
Securities Law and documents guiding the implementation of the Law to build documents and
apply for permission from the National Securities Commission. When choosing a private
offering, the basis for preparing the application for issuance is the Enterprise Law and guiding
documents
When investors convert convertible bonds into stocks, it will change the company's capital
structure.
Correct. Convertible bonds are debt securities, stocks are equity securities. Converting bonds
into shares will change the company's capital structure: increasing equity and reducing debt
capital (liabilities).
The disadvantage of the stock issuance method is that it does not change the capital
structure of the enterprise.
Wrong. Issuing shares will increase equity > Change the capital structure of the enterprise
[According to the stock market slides chapter 3 - section on enterprises issuing shares]
In Vietnam, Joint Stock Companies and LLCs are allowed to issue shares.
Wrong. According to Clause 3, Article 46, Law on Enterprises 2020, limited liability companies
with 2 or more members are not allowed to issue shares, except to convert into a joint stock
company. According to Article 74, Law on Enterprises 2020, a one-member LLC is not allowed
to issue shares, except to convert into a joint stock company.
Phát hành trực tiếp là phương thức phát hành trong đó tổ chức phát hành đảm nhận toàn
bộ quá trình phát hành. (Direct issuance is a method of issuance in which the issuer
undertakes the entire issuance process.)
Correct. This is the characteristic of the direct issuance method [According to the stock market
slides chapter 3 - classification by issuance method]
Rủi ro hệ thống là loại rủi ro không thể loại trừ được
(Systematic risk is a type of risk that cannot be eliminated)
Correct. Because this risk is affected by general economic conditions such as inflation, changes
in exchange rates, interest rates, etc. Systematic risk affects all or most assets, such as market
risks, purchasing power risks, political risks. [According to Gtr Stock Market page 75]
Rủi ro tài chính là rủi ro phi hệ thống, có thể hạn chế rủi ro tài chính.
Financial risk is a non-systematic risk that can limit financial risk.
Correct. Financial risks can be avoided to the extent that managers have discretion to decide
whether or not to borrow. A company that does not borrow will limit financial risks. Financial
risk is related to the issuer's condition, so this is an unsystematic risk
Tỷ lệ sở hữu của cổ đông trong công ty sẽ bị pha loãng khi công ty thực hiện chi trả cổ tức
bằng cổ phiếu. (Shareholders' ownership ratio in the company will be diluted when the
company pays stock dividends.)
Wrong. When a company pays dividends to shareholders in shares at a certain rate, shareholders
who hold how many shares will be paid according to the corresponding ratio, and at the same
time the number of shares of the company after Making payments also increases corresponding
to the payout ratio -> Does not affect the share ownership ratio of each shareholder to the
company's total shares -> Share ownership ratio of shareholders in the company ty is not diluted
CHƯƠNG 4
Không cần mở tài khoản nhà đầu tư vẫn có thể tiến hành mua bán CK niêm yết trên
SGDCK.
(No need to open an account, investors can still buy and sell securities listed above Stock
exchange.)
Wrong. According to the Securities Law 2006, investors are required to open accounts to trade
and create conditions for the state to easily control.
Một trong những điều kiện niêm yết ở HOSE là công ty phải có vốn điều lệ đạt 80 tỷ.
(One of the conditions for listing on HOSE is that the company must have a charter capital
of 80 billion.)
Wrong. One of the conditions for listing on HOSE is that the company must have a contributed
charter capital at the time of listing registration of 120 billion VND or more [According to
Article 53, Decree No. 58/2012/ND-CP]. HNX: minimum charter capital reaches 30 billion
VND
Các phiên GD CK trên TTCK VN được thực hiện vào buổi sáng tất cả các ngày trong tuần
trừ thứ 7, chủ nhật, ngày lễ.
(Stock trading sessions on the Vietnam stock market are conducted in the morning on all
days of the week except Saturday, Sunday, and holidays)
Wrong. Stock trading sessions on the Vietnam stock market are conducted as follows:
• Securities opening hours: from 9am
•Closing time of the stock exchange: from 3:00 p.m
• Non-trading lunch break: from 11:30 a.m. to 1:00 p.m
Stock trading sessions on the stock market are also carried out in the afternoon
Đối với lệnh dừng để mua, giá dừng được đặt thấp hơn giá thị trường.
(For stop orders to buy, the stop price is set below the market price.)
FALSE. For stop orders to buy, the stop price is set higher than the market price [According to
the stock market slide chapter 4 - characteristics of 2 types of stop orders]
Lệnh ATO là lệnh khách hàng sẽ ghi mức giá trong lệnh.
(ATO order is an order where the customer will write the price in the order)
Wrong. ATO orders are applied during the periodic order matching period to determine the
opening price. This is a buy/sell order at the opening price [According to the stock market slide
chapter 4 - trading order section at the matching price]
Lệnh giới hạn được sắp xếp theo thứ tự trong khớp lệnh và phân bổ chứng khoán sau khớp
lệnh.(Limit orders are arranged in order of order matching and post-matching stock
allocation.)
Correct. According to the stock market slide chapter 4 - characteristics of limit orders
Lệnh giới hạn là lệnh khách hàng đưa ra giá trong lệnh.(A limit order is an order where
the customer sets a price in the order.)
Correct. A limit order is an order where the customer sets a price in the order, securities are
bought or sold at a specified price or better [According to the stock market slide chapter 4 - limit
order section]
Lệnh MP là lệnh cần ghi giá khi thực hiện lệnh. (An MP order is an order that requires a
price to be recorded when executing the order.)
Wrong. A market order is a type of order where the customer does not put a price in the order. In
other words, this is the type of order that the customer accepts to buy/sell at any price on the
market
Ở Việt Nam hiện nay, nhà đầu tư không được phép mua ký quỹ cổ phiếu. (In Vietnam
today, investors are not allowed to buy stocks on margin.)
Wrong. Circular 120/2020/TT-BTC (effective from February 15, 2021) allows investors to buy
stocks on margin.
Ở Việt Nam hiện nay, tổ chức phát hành muốn niêm yết trái phiếu trên SGDCK TP HCM
phải đáp ứng điều kiện tối thiểu về vốn điều lệ là 50 tỷ đồng.
(In Vietnam today, issuing organizations that want to list bonds on the Ho Chi Minh City
Stock Exchange must meet the minimum charter capital condition of 50 billion VND.)
Wrong. One of the conditions for listing on HOSE is that the company must have a contributed
charter capital at the time of listing registration of 120 billion VND or more [According to
Article 53, Decree No. 58/2012/ND-CP].
Sở giao dịch chứng khoán không có địa điểm giao dịch cụ thể. (The stock exchange does not
have a specific trading location.)
Wrong. A stock exchange is an organization with an existing entity, location, and specific
trading floor [According to the stock market slide chapter 4 - basic characteristics of a stock
exchange]
Sở giao dịch chứng khoán là thị trường minh bạch và được tổ chức cao, giá cả được xác
định trên cơ sở thương lượng và thỏa thuận. (The stock exchange is a highly organized and
transparent market, prices are determined on the basis of negotiation and agreement.)
Wrong. The stock exchange is a transparent and highly organized market, prices are determined
on the basis of public auction [According to the stock market slide chapter 4 - basic
characteristics of the stock exchange]
Sự ra đời của Sở giao dịch chứng khoán làm giảm rủi ro trong giao dịch chứng khoán (The
birth of the Stock Exchange reduces risks in stock trading.)
Correct. The Stock Exchange is a transparent and highly organized market, prices are determined
on a public auction basis and is a place to buy and sell securities that have been allowed to be
traded at the Stock Exchange by competent authorities. → The stock exchange risks in stock
trading
Thứ tự ưu tiên trong khớp lệnh trên SGDCK là: giá, khách hàng, thời gian.
(The order of priority in order matching on the Stock Exchange is: price, customer, time.)
Wrong. The order of priority in order matching on the Stock Exchange is: price, time, volume,
and customer [According to the stock market slide chapter 4 - order matching principles]
Trên SGDCK TP HCM hiện nay, đang áp dụng các loại lệnh: lệnh giới hạn, lệnh
ATO/ATC và lệnh hủy. (On the Ho Chi Minh City Stock Exchange today, the following
types of orders are being applied: limit orders, ATO/ATC orders and cancellation orders.)
Wrong. Ho Chi Minh City Stock Exchange is still applying MP market orders (Market Price
orders).
Trong giao dịch, lệnh thị trường (MP) được ưu tiên trước lệnh giới hạn. (Market orders
(MP) are given priority over limit orders in trading.)
True. This is because market orders are instructions to buy or sell a security at the best available
market price at the time the order is placed. This means that market orders are filled first, before
limit orders, when there are matching orders at the current market price.
Trong một phiên giao dịch, nhà đầu tư chỉ được mua và bán một mã chứng khoán.
(During a trading session, investors can only buy and sell one stock code).
False. According to Article 7, Circular No. 120/2020/TT-BTC regulating stock transactions,
investors are not prohibited from buying and selling many different stock codes.
Việc khớp lệnh liên tục sẽ diễn ra khi có lệnh đối ứng.
(Continuous order matching will take place when there is a corresponding order).
True. Continuous order matching is a trading method performed on the basis of matching buy
and sell orders of securities as soon as the order is entered into the trading system. The
transaction will be carried out as soon as the corresponding orders satisfy the price [According to
the stock market slide chapter 4 - section on types of order matching & stock market value on
page 181]
CHƯƠNG 5
Cả trên Sở giao dịch và thị trường OTC đều có các nhà tạo lập thị trường.
(Both on the Exchange and the OTC market there are market makers. )
False. Centralized stock markets do not use market makers. The OTC Market has market makers,
these are licensed financial institutions, always holding a large enough amount of securities and
ready to buy and sell to create a market for that security. [Gtr Stock market page 217]
Cơ chế giao dịch trên thị trường OTC là cơ chế thương lượng, thỏa thuận song phương
giữa hai bên mua bán.
(The trading mechanism on the OTC market is a bilateral negotiation and agreement
mechanism between the two buying and selling parties. )
True. The OTC market often uses the price setting mechanism in the form of negotiation and
bilateral agreement between buyers and sellers [Stock Market Statistics page 215]
Khi áp dụng cơ chế đấu giá theo giá, giá cả dễ biến động khi có sự mất cân đối cung –
cầu,khả năng thanh toán và linh hoạt không cao.
(When applying the price-based auction mechanism, prices are susceptible to fluctuations
when there is an imbalance between supply and demand, and liquidity and flexibility are
not high).
False. In this mechanism, market makers appear, prices are determined on the basis of
competition between market makers. The price-based auction mechanism has the advantage of
high liquidity and price stability [According to the stock market slide chapter 5 - section on
price-based price determination mechanism
Thị trường chứng khoán phi tập trung giúp mở rộng thị trường tự do, góp phần đảm bảo
sự ổn định và lành mạnh của thị trường chứng khoán.
(The decentralized stock market helps expand the free market, contributing to ensuring the
stability and health of the stock market).
False. The decentralized stock market limits/restricts and narrows the free market, contributing to
ensuring the stability and health of the stock market. [According to the Stock Market Slide
chapter 5 – the role of the OTC market]
Thị trường chứng khoán phi tập trung tạo thị trường cho các chứng khoán của các công ty
vừa và nhỏ, các chứng khoán chưa đủ điều kiện niêm yết.
(The decentralized stock market creates a market for securities of small and medium-sized
companies and securities that are not eligible for listing)
True. OTC market trades second-class securities (stocks with higher risk). This is the role of the
decentralized stock market [According to the stock market slide chapter 5 - the role of the OTC
market]
CHƯƠNG 7
Theo quy định hiện hành, một CTCK muốn đăng ký thực hiện nghiệp vụ tư vấn đầu tư CK
phải đáp ứng yêu cầu về vốn điều lệ tối thiểu là 15 tỷ đồng.
(According to current regulations, a securities company that wants to register to perform
securities investment consulting operations must meet the minimum charter capital
requirement of 15 billion VND)
False. According to Point d, Clause 1, Article 71, Decree 58/2012/ND-CP, legal capital for
securities investment consulting operations: 10 billion VND [According to Stock Market Gtr
page 273]