Terms Beginning With 'z'

Zero-Coupon Bond

  • January 15, 2020
  • Team Kalkine

Zero-Coupon Bond refers to a bond or debt security that trades at rich discount from its face value and does not pay any regular interest. When a Zero-Coupon bond is sold for a value less than its face value while not making coupon payments or periodic interest payments during its life, the bond holder makes a profit by redeeming it at its face value.

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