In addition the second risk is that risk Liquidation. Owned companies, declared bankrupt by a court, or the company dissolved.

In this case the claim rights of shareholders last priority after all the obligations of the company may be paid (from the sale of the company's assets).

If there are still remaining from the sale of the company's wealth, then the rest is distributed proportionally to all shareholders. But if there are no remaining corporate property, then the shareholders will not get any results from such liquidation.

This condition is a risk of the hardest of the shareholders. For that a shareholder is required to continuously follow the development of the company.

How Understanding Price and Yield Bonds

Understanding the bond price is a bit different from the stock. When stock prices are expressed in the form of currency, then the bond price is usually expressed as a percentage (%), the percentage of the nominal value.


There are 3 (three) possible market price of the bonds offered, namely: (1) Par (score Pari), where the bond price equal to the nominal value (eg: bonds with a nominal value of USD 50 million sold at 100%, the bond's value it is 100% x Rp 50 million = USD 50 million); (2) at a premium (the premium), the bond price is greater than the nominal value (eg: bonds with a nominal value of Rp 50 million sold at a price of 102%, then the value bonds is 102% x Rp 50 million = USD 51 million); (3) at discount (with Discount), the bond price is less than the nominal value (eg: bonds with a nominal value of USD 50 million are sold at 98%, then the value of the bonds is 98% x Rp 50 million = USD 49 million).