Of or relating to a security that sells at more than face value or par value. For example, a $1,000 par bond that trades at a market price of $1,050 is selling above par. A fixed-income security is most likely to sell above par if market rates of interest have declined since the time the security was issued. Bonds purchased above par will result in capital loss to the buyer if held to maturity and redeemed at face value. Compare below par. See also premium bond.
