Fixed Income Instruments

Zero-coupon Bonds

These bonds are often used as a means of raising long-term capital for a company or government entity. The difference between the discount price and the face value is considered the investor's profit or yield.

Let's delve into the world of finance and explore the concept of zero-coupon bonds. These unique bonds are issued at a discounted price and do not offer any interest payments to the investors. They serve as a popular option for companies and governments to raise long-term capital. The investor's profit or yield is determined by the difference between the discount price and the face value of the bond. This makes zero-coupon bonds a valuable tool in the financial market.

Related terms

Secured Debentures

Understand the meaning and definition of Secured Debentures in the context of stock market, trading, and investments.

MORE
Inflation Risk

Understand the meaning and definition of Inflation Risk in the context of stock market, trading, and investments.

MORE
Credit Risk

Understand the meaning and definition of Credit Risk in the context of stock market, trading, and investments.

MORE
Market Value

Understand the meaning and definition of Market Value in the context of stock market, trading, and investments.

MORE
Floating Rate Bonds

Understand the meaning and definition of Floating Rate Bonds in the context of stock market, trading, and investments.

MORE
Revenue Bonds

Understand the meaning and definition of Revenue Bonds in the context of stock market, trading, and investments.

MORE
Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers