Video (12) OBLIGASI Oleh: Nataria dan Angga Naga Sastra

Summary

In this video, the host introduces the concept of bonds, explaining that they are medium to long-term debt securities that can be traded. The example used is a government bond, with a nominal value and a fixed coupon rate. The video explains how bonds work, with a focus on how an investor buys a bond, earns annual interest payments, and gets the principal back at maturity. The key concept of Yield to Maturity (YTM) is also covered, showing how to calculate returns based on coupon payments and price variations. The video simplifies bond investments, making them accessible to viewers.

Takeaways

• 😀 Bonds are medium to long-term debt securities that can be traded.
• 😀 Examples of debt instruments include government bonds and bonds issued by the Republic of Indonesia.
• 😀 Bonds are assessed by evaluating factors like coupon rate, maturity period, and nominal value.
• 😀 To buy and profit from bonds, one must understand how they work over time.
• 😀 For example, a government bond named 'Sun' may have a selling price of 10 and a nominal value of 1,000 with a 3-year period and a 6% coupon rate.
• 😀 The basic operation involves buying the bond at time T0, receiving annual coupon payments at T1 and T2, and receiving the principal at T3.
• 😀 The bondholder will receive 60 units annually for the next 3 years, in addition to the 1,000 nominal value at maturity.
• 😀 The yield to maturity (YTM) of a bond is calculated by adding the coupon rate and the price difference between the purchase price and the nominal value, divided by the bond's period.
• 😀 In the example, the bond has a YTM of 5.6%.
• 😀 The YTM provides a better understanding of the actual return you can expect from a bond, factoring in both the coupon payments and the principal repayment.

Q & A

What is an obligation?

An obligation is a debt security that can be bought and sold. It is a medium- to long-term loan instrument that can be issued by various entities, such as governments or corporations, and typically includes a fixed interest rate.

What are some examples of debt instruments?

Examples of debt instruments mentioned in the script include government bonds (like Surat Utang Negara) and Republic of Indonesia bonds.

How does the process of buying and gaining profits from an obligation work?

The process involves purchasing a bond, receiving periodic coupon payments (interest), and then receiving the face value (nominal) of the bond at the end of the term. In the example, an investor buys a bond at a price of 1010 and receives 60 annually for three years, then gets the principal amount of 1000 back at the end.

What is the meaning of 'T0', 'T1', 'T2', and 'T3' in the script?

'T0' represents the time when the investor buys the bond. 'T1', 'T2', and 'T3' represent the years when the investor receives coupon payments (60 each year), and 'T3' is when the principal (1000) is also returned.

What is a coupon in the context of bonds?

The coupon is the interest payment made to the bondholder, usually expressed as a percentage of the bond’s face value. In the example, the coupon rate is 6%, which means the bondholder receives 60 units of currency per year.

How does the calculation of the yield to maturity (YTM) work for bonds?

YTM is calculated by adding the coupon payments to the difference between the face value and the purchase price, divided by the number of years the bond is held. In the example, the YTM comes out to 5.6%.

What is meant by 'harga par' in the bond calculation?

'Harga par' refers to the bond's face value or nominal price, which is the amount that the bondholder will receive at maturity. In the example, this is 1000.

What is the significance of the nominal value in bond investing?

The nominal value is important because it is the amount the bondholder will receive back at the end of the bond’s term. It is also used to calculate the coupon payments and the yield to maturity.

How is the yield to maturity (YTM) calculated based on the example in the script?

YTM is calculated using the formula: (coupon + (par price - purchase price) / number of years) / purchase price. In the example, the YTM is 5.6%, derived from a 6% coupon rate, a purchase price of 1010, and a face value of 1000.

Why is it important for investors to understand how bonds work?

Understanding how bonds work is important because it helps investors make informed decisions about where to invest their money. It helps them calculate potential returns, assess risk, and manage their investment portfolios.