Perpetual Bonds Processing Notes

A Perpetual Bond is a fixed income security with no stated maturity date. Interest is paid indefinitely based on the bond's payment frequency.

In Eagle, Perpetual Bonds should be set up the same way as long-dated corporate or government debt. Key fields are noted below.

• Processing Security Type (3931) = DBIBFD (Interest Bearing Debt Instrument)

• Amortization Accretion Rule Type (12008): this can be used to specify an amortization rule specifically for Perpetual Bonds at a level above an individual security, but below Processing Security Type

  • Refer to Applying Amortization Rules Methodology and Amortization & Accretion Rules Panel Options for additional information

• Payment Frequency (472): stated coupon frequency

• Maturity Date (38): set far out in the future, such as 2099

  • The day and month should align with the coupon schedule (if coupons are paid semiannually on April 1st and October 1st, Maturity Date should be 4/1/2099 or 10/1/2099)