Definition of face value

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TeachMeFinance.com - explain face value



face value -- the sum of money denoted on the principal, or "face" side, of a financial instrument such as bond or note, representing: (1) the amount of money the issuer promises to pay at maturity and (2) the amount on which interest is computed. Synonymous with par value.

historic definition...

Face value -- The face value of stocks and bonds is the value printed on the face of them the amount they are issued for or call for ; same as par value. For additional information see Par.



About the author

Mark McCracken

Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English".


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