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WordNet-Online
Definitions from WordNet
Noun zero-coupon bond has 1 sense
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Definitions from the WebTerm: Zero Coupon BondDefinition:A zero coupon bond is a type of bond that does not pay periodic interest payments, but is instead sold at a discount and redeemed for its face value at maturity. Senses:Sense 1:Part of Speech: Noun Definition: A financial instrument that is issued at a discounted price and does not pay regular interest, but instead provides a return on investment through the difference between the purchase price and the face value when it matures. Sample Sentence: The investor purchased a zero coupon bond for $500, and when it reached maturity, she received $1,000. Usages:Usage 1: InvestmentPart of Speech: Noun Definition: The act of buying zero coupon bonds as an investment strategy to earn a fixed return at maturity. Sample Sentence: Many financial advisors recommend including zero coupon bonds in investment portfolios to diversify risk. Usage 2: Debt FinancingPart of Speech: Noun Definition: The use of zero coupon bonds by corporations or governments to raise capital without having to make ongoing interest payments. Sample Sentence: The government issued zero coupon bonds to fund a large infrastructure project without increasing the annual debt payment obligations. Related Products:Search for zero coupon bonds on Amazon | ||||
zepplelin zepplin zeppo zer zermat zermatt zero-based zero-carbon zero-coupon bond zero-coupon security zero-interest zero-rate zero-sum game zero-tolerance policy zero zero zero coupon bond
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