A:
Unmistakeably put: yes, you will. The beauty of a fixed-income security is that the investor can expect to be given a certain amount of cash, provided the bond or debt instrument is held until ripeness (and its issuer does not default).
Most bonds pay interest semi-annually, which menials you receive two payments each year. So with a $1,000 bond that has a 10% semi-annual coupon, you desire receive $50 (5% *$1,000) twice per year for the next 10 years.
Link Yield Concerns
Most investors, however, are concerned not with the coupon payment, but with the covenant yield, which is a measure of the income generated by a bond, calculated as the piece divided by the price. So if your bond is selling at $1,000, or par, the coupon payment is equal to the renounce, which in this case is 10%.
But bond prices are affected by, among other things, the lending fee offered by other income-producing bonds. As such, bond prices alternate, and in turn, so do bond yields (For further reading, check out Bond Basics and Ahead of time Bond Concepts).
To further illustrate the difference between yield and coupon payments, let’s meditate on your $1,000 bond with a 10% coupon and its 10% net ($100 / $1,000). Now, if the market price fluctuated and valued your bond to be benefit $800, your yield would now be 12.5% ($100 / $800), but the $50 semi-annual coupon payments wish not change.
Conversely, if the bond price were to shoot up to $1,250, your output would decrease to 8% ($100 / $1,250), but again, you would still receive the still and all $50 semi-annual coupon payments.