In our society, there are accepted ways to communicate messages. Messages that don’t follow this format are often rejected or ignored by the public. If CEOs or politicians don’t understand this communication format and fail to deliver their messages effectively, people won’t understand them, which can harm the relationship. Meetings like those of accounting, the board of directors, and general shareholders meetings are examples of these communication formats. We need to learn the correct format first so we can express ourselves clearly. You could attend a swimming competition in a suit, but since it would seem funny, a leader must understand this formality well to be effective. - Joseph’s “just my thoughts”
Many people in our society invest in bonds . Perhaps you, reading this article, have invested in bonds at least once and are still investing now. Bank deposits are a form of bonds, just not labeled as ‘bonds.’ When you deposit your money in a bank, the money isn’t considered bank money. Interest is paid because the money isn’t withdrawn immediately. When you withdraw your deposited money, the bank must return the principal plus interest. This is essentially a bond. However, the only reason this differs from bonds as an investment asset is that these bank deposits are not traded on the market. If bank deposits were traded publicly, the interest rate would be evaluated in comparison with other deposits, even if the principal remains unchanged. Valuation reflects opportunity cost . This is the transaction value of bonds . When goods or assets are traded in the market, their value is re-evaluated. The core of value is comparison, and the tool for valuation is opportunity cost. That’s why C...