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Fixed Income Instruments

Coupon Rate

When investing in bonds, it is important to understand the concept of Coupon Rate. This refers to the interest rate that bondholders receive on their investment, which is determined based on the bond's face value. It is worth noting that the Coupon Rate is not affected by the bond's issue price or market value. As an astute investor, understanding this term will help you make informed decisions when it comes to bond investments.

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