Amortized Cost

Amortized cost is an asset or liability amount adjusted over time for principal payments, premium or discount amortization, and applicable credit-loss provisions.

Why this matters to income investors

Cost adjusted over time differs from fair value and may not reflect current credit deterioration.

How to use amortized cost in your research

Read how the company valued the asset and whether the figure came from a market quote, model, or management estimate. Compare valuation changes with realized cash flows and the latest earnings report.

This material is general education and information, not individualized investment, tax, or legal advice.