FYI: Investors may increasingly find bond-market strategists referring to “premium-priced bonds.” Individuals would do well to understand the terminology because it may help them make better investments.
A premium-priced bond is one that trades at more than its face value because it offers a higher interest rate than the prevailing rate for new bonds. For instance, you pay $1,100 for a bond worth $1,000 (the par value) when it matures.
Regards,
Ted
https://www.wsj.com/articles/what-does-premium-priced-bonds-mean-11564970580
