Definition, Meaning & Synonyms
maturity value
Financial Term
/məˈtʃʊr.ɪ.ti ˈvæl.juː/
Definition
The amount an investment is worth upon its maturity date, which typically includes the principal plus any interest earned.
Examples
- The maturity value of a bond is determined by its face value plus the interest that has accumulated by the maturity date.
- When you take out a fixed deposit, the maturity value will be higher than the principal amount due to the interest earned.
Meaning
Maturity value represents the total amount that an investor will receive at the end of an investment period, often found in bonds, certificates of deposit, or insurance policies.
Synonyms
- Final value
- Maturity amount
- Payoff amount