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What is Par Value
Par Value is an English desigation for the net nominal price of the share, bond or other security.

Par Value is an English designation for the net nominal price of a share, bond or other security.

Par Value in practice: Par Value represents the value of a security that provides its publisher and is not related to its real value. The market value may differ in practice. If it is higher, it is referred to as over par value, if it is lower, it is referred to as under par value. In case that the nominal value is the same as the market one, it is referred to as at par value.
Par Value is important for example for determining the value of assets in the accounts.

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Last update: 15.09.2015

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