Financial and Investment Glossary
Financial Dictionary
Zero Coupon Bond
A debt obligation sold at a discount from its face value, where no periodic interest payments are made. At maturity, an investor receives one payment equal to principal invested plus interest earned compounded semi-annually at the original interest rate.
A debt obligation sold at a discount from its face value, where no periodic interest payments are made. At maturity, an investor receives one payment equal to principal invested plus interest earned compounded semi-annually at the original interest rate.