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premium
The amount by which a bond or stock sells above its par value. - The amount by which a closed-end fund'smarket price exceeds the value of its holdings. - An additional cost above the normal cost. - The amount that the buyer of an option pays to the seller. - A regular periodic payment for an insurance policy, here also called insurance premium. - The amount by which the first trading of an IPO exceeds its offering price. opposite ofdiscount.
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