Accretion Definition
While accretion is used to refer to a number of processes within the financial world, the most common accretion definition is the straight-line accumulation of value over time in discount bonds to be redeemed at full maturity.
accretion investment & finance definition
The accumulation of capital gains on discount bonds with the expectation that the securities will be redeemed at maturity.
Accretion
Treated as interest
Accretion is adjusting the cost basis of original issue bond that was bought at discount
(accretion is treated as interest) ...
Definition
Accretion (finance)
In finance, accretion is the change in the price of a bond bought at a discount between the original price and the par value of the bond.
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ACCRETION OF DISCOUNT - An accounting process by which the book value of a security purchased at a discount from par is increased during the security's holding period.
accretion bond
Often the last tranche in a CMO, the accretion bond, or Z-tranche, receives no cash payments for an extended period of time until the previous tranches are retired.
Accretion
A method of adjusting a taxpayer's cost basis of a bond bought at an original issue discount. The annual accretion is treated as interest for tax purposes. See also Original Issue Discount, Constant Yield, and Straight-line.
Accretion
Accretion refers to the accumulation of capital gains in a discount bond as it approaches maturity and a value of par. While the gains are not received until the date of bond maturity, they are taxed by the IRS as annual income.
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Accretion
1. Asset growth through addition or expansion.
2. In reference to discount bonds, it describes the accumulation of value until maturity.
Accretion (of a discount)
In portfolio accounting, a straight-line accumulation of capital gains on a discount bond in anticipation of receipt of par at maturity.
Accretion: The process of adjusting the cost of a bond purchased at a discount. Only original-issue discount municipal bonds are accreted.
Accretion: Accretion is an accounting method for the income associated with a zero coupon security, where the difference between the discounted purchase price and the par (face) value of the security is credited to an income account.
Accretion/dilution analysis
American Society of Appraisers
Appraisal Institute
Appraisal value ...
Accretion
A method of adjusting the tax cost basis of a bond bought at an original issue discount in equal amounts over the life of the bond. For tax purposes, the annual accretion is treated as interest.
See: Original Issue Discount ...
[TMAC] accretion of discount A straight-line accumulation of capital gains on discount bonds in anticipation of being paid par at maturity.
accretion See 'accretion.' accretive Growing in size by external addition. Often used to refer to an acquisition which is expected to increase earnings per share.
2: In a bond bought at a premium, it is a method of reducing a taxpayer's cost basis (vs. Accretion).
3: Amortization also applies to debt reduction through periodic payments of principal and interest sufficient to pay off a loan by maturity.
suggest that the coalescence and differentiation of iron-cored small planets may have occurred 10 million years after a nucleosynthetic event. 107Pd versus Ag correlations observed in bodies, which have clearly been melted since accretion of the ...
A zero coupon bond generally increases in value as it approaches maturity, and the return comes solely from its appreciation. The dollar amount difference between the purchase price and the maturity value represents the yield or accretion value.
their terms but are sold at a discount from their face value. A zero coupon bond generally increases in value as it approaches maturity. The dollar amount difference between the purchase price and the maturity value represents the yield or accretion ...
 See also: Interest, Market, Bond, Issue, Investment
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