What is the meaning of the word "zero coupon bond"?
Definitions:
-
A bond that is issued at a deep discount from its value at maturity and pays no interest during the life of the bond.
NOUN
- Zero coupon bonds are ideal for long-term investors willing to lock in a fixed return over a specific period.
- Zero coupon bonds are ideal for long-term investors willing to lock in a fixed return over a specific period.