1) The premium paid to purchase a call option.

2) (redemption premium) The amount over par value that the bond issuer must pay an investor if the security is redeemed early.

See:

callable bonds, call provision.

• longs
• long-term bond
• long-term contract
• long-term debt
• long-term equity anticipation securities
• long-term liability
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• long-term rate risk
• lookback option
• loss adjuster
• loss assessor
• loss-of-profits policy
• loss ratio
• loss reliefs
• lot
• loti
• lottery
• lower of cost or market
• lower rate of income tax
• loyalty bonus
• LRR
• Ltd
• LTOM
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• luma