zero-coupon bond

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ThesaurusAntonymsRelated WordsSynonymsLegend: bond - a bond that is issued at a deep discount from its value at maturity and pays no interest during the life of the bondzero-coupon bond - a bond that is issued at a deep discount from its value at maturity and pays no interest during the life of the bond; the commonest form of zero-coupon security
governing, government activity, government, governance, administration - the act of governing; exercising authority; "regulations for the governing of state prisons"; "he had considerable experience of government"
corp, corporation - a business firm whose articles of incorporation have been approved in some state
bond certificate, bond - a certificate of debt (usually interest-bearing or discounted) that is issued by a government or corporation in order to raise money; the issuer is required to pay a fixed sum annually until maturity and then a fixed sum to repay the principal
zero coupon security, zero-coupon security - a security that makes no interest payments but instead is sold at a deep discount from its face value
Based on WordNet 3.0, Farlex clipart collection. © 2003-2012 Princeton University, Farlex Inc.
References in periodicals archive ?
"Egypt is considering new instruments such as variable-rate bonds linked to inflation and zero-coupon securities. Also, in the pipeline are international bonds denominated in the local currency," kojak noted It added that the average maturity of Egypt's sovereign debt is on track to reach 3.5 years by next June, compared with 2.8 years in the last fiscal year.
Downes and Goodman present 30 investment strategies from annuities to zero-coupon securities detailing the basics about buying and selling, objectives, and risk, tax, and economic considerations for each; a table summarizes key criteria applied to these strategies.
Also known as "zero-coupon securities," these are Treasury securities that do not make periodic interest payments.
Zero-coupon securities are frequently used to meet specific financial or investment goals, especially when the date of a future need is known well in advance.
The first step in our analysis is to calculate break-even inflation rates for each TIIS auction, or the rate of inflation at which the cost to the Treasury of issuing a TIIS will exactly equal the cost of raising the same amount of funds by issuing the comparable nominal security (the portfolio of zero-coupon securities).
As a result, zero-coupon securities must be treated for the purpose of the interest coverage tests and the par value tests, as follows: