Fixed Income

Face Value

Definition

What is Face Value?

The principal amount stated on a bond and usually repaid at maturity.

Example in practice

A bond with a ₦1,000 face value returns ₦1,000 at maturity unless it defaults.

Keep learning

A debt security through which an investor lends money to an issuer in return for promised payments.

The government, company, or organisation that creates and sells a security.

The stated value of a bond or share, often used as the amount repaid at bond maturity.

A short-term government debt instrument usually issued at a discount and repaid at face value.

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