Zero Coupon Securities

Topics:
Investment and Capital Markets
Tags:
Bond,
Coupon,
Finance,
Investment,
Security
Source:
Investopedia

FREE Registration is required

Overview: This tutorial encapsulates about Zero Coupon Securities. A zero coupon security, or a "stripped bond" is basically a regular coupon paying bond without the coupons. The process of "stripping" or "zeroing" a bond is usually done by a brokerage or bank. The bank or broker stripping the bonds then registers and trades these zeros as individual securities. After the bonds are stripped there are two parts, the principal and the coupons. The interest payments are known as "coupons", and the final payment at maturity is known as the "residual" since it is what is left over after the coupons are stripped off.

(Is this item miscategorized? Does it need more tags? Let us know.)

Format: HTML | Pages: 2

People who downloaded this item also downloaded

White Paper How To Value A Biotechnology Company
White Paper Investing In Zero Coupon Bonds
Tools & Templates Bond Yield Calculator
Tools & Templates Should I Buy A Zero Coupon Bond?
Tools & Templates What Is My Yield To Maturity?

Top results from Investment and Capital Markets

White Paper Risk Analysis and Capital Adequacy of Hedge Funds
White Paper On the Performance of Alternative Investments: CTAs, Hedge Funds, and Funds-of-Funds
White Paper Intermediary Risk In The Indirect Holding System For Securities
White Paper Hedge Funds & Listed Options: Portfolio Management Strategies
White Paper European Asset Management Industry Set for Slower Profit Growth, According to Oliver, Wyman & Company and UBS Warburg

» View all Investment and Capital Markets listings

advertisement
advertisement
  • Click Here
  • Click Here
  • Click Here
advertisement

Returning users: Log In Here!

Already registered on BNET, TechRepublic, or ZDNet? Simply log in.

Free Membership: Sign Up Now!

Sign up for a free membership today and get instant and unlimited access to one of the largest databases of white papers, webcasts, and casestudies anywhere. Your FREE membership allows you to:

  • Download an unlimited amount of content, including classic and current white papers, case studies, webcasts and more
  • Track content on your chosen topics of interest
  • Receive targeted email alerts when your favorite content is added
  • Save content for future reading
  • Receive our member newsletter

When you register to access this directory, you become a member of BNET. In addition, you allow us to share your information with companies that produce products or services featured in the library--so that such companies may contact you with information and offers regarding their products and services. This enables us to keep the library a free service. As a directory registrant, you will receive a complimentary subscription to the BNET member newsletter, The BNET Report. You can unsubscribe from this newsletter at any time. By clicking the Sign up button, you indicate that you agree to our Terms and Conditions and have read and understand our Privacy Policy (updated).