A humped yield curve occurs when medium-term interest rates are higher than both short-term and long-term rates.
The humpback curve is rare, but can result from a negative butterfly or an unparalleled shift in the yield curve, when long-term and short-term returns fall more than medium-term returns.
most often, yield curves have the lowest rates in the short term, steadily rising over time; while an inverted yield curve describes the opposite. The humpback curve is instead shaped like a bell.
Average life is the average length of time it takes to pay off the outstanding principal on a debt instrument, such as a treasury bill, bond, loan, or mortgage-backed security.
Hard call protection or absolute call protection is a condition of a callable bond, according to which the issuer cannot exercise the call and redeem the bond before a specified date, usually three to five years from the date of issue.
A harmless warrant is a provision that requires the holder of a bond to return the bond to the issuer if he buys another bond with similar terms from the same issuer.
The high yield bond spread, also known as the credit spread, is the difference between the yield on a high yield bond and a benchmark bond such as an investment grade or treasury bond.
Japanese government bonds (JGB) are bonds issued by the Japanese government that have become a key element in the country’s central bank’s efforts to boost inflation.