zero coupon bond
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English
Noun
zero coupon bond (plural zero coupon bonds)
- (finance) A bond (e.g., corporate debenture or government debt) that has no coupon (i.e., pays no interest), during the life of the issue. Such a bond is initially sold at a discount to its face value. The rate of return to the holder is derived from the gradual appreciation as the security moves toward maturity.
Synonyms
Translations
bond that has no coupon
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