coupon-equivalent rate investment & finance definition An alternative measure of yield that is used to make securities usually quoted on a discount basis comparable with those quoted on the more usual return on the amount invested.
Coupon bond A bond that pays the holder of the bond a fixed interest payment (a coupon payment) every year until the bond reaches maturity.
Coupon pass Definition: Canvassing by the Desk of primary dealers to determine the Inventory and maturities of their Treasury securities.
Zero Coupon Municipal Bonds Glossary Accreted value The current value of a zero coupon municipal bond, taking into account interest that has been accumulating and automatically reinvested in the bond.
Zero-coupon bonds are bonds which do not pay interest payments (also known as coupon payments). The bonds are purchased at a discount from what they will be worth when they mature.
Zero Coupon Bonds Zero coupon bonds are bonds that do not pay interest during the life of the bonds.
Zero-Coupon Bond A bond that, instead of paying interest, is sold at a deep discount. You get the face value at maturity, and the difference between the two is the yield. Mostly these are Treasury securities.
Zero coupon bond A bond that has no coupon, or interest, but is purchased at a large discount. Upon maturity of the bond the owner recieves the full value of the bond.
Coupon bonds are a type of bond issue that offers the benefit of receiving an interest payment on a semi-annual basis.
Coupon A Coupon is the periodic interest payment made to a bondholder during the life of the bond. (Usually semi-annual) Next Term: ...
Coupon (1) On bearer stocks, the detachable part of the hide behind nominee status. Certificate exchangeable for dividends. (2) Denotes the rate of interest on a fixed interest security. Top Online Forex Brokers ...
Zero Coupon Bond - Has no coupon payment. The return is in appreciation, purchased at a discount. Zero Coupon Bonds have the highest durations and are the most sensitive to fluctuations in interest rates.
Zero-Coupon Convertible Investment Dictionary: Zero-Coupon Convertible Home > Library > Business & Finance > Investment Dictionary ...
Zero Coupon Yield Curve It is a method using zero coupon bonds for precisely analyzing the yield curve. Advertisement ...
Zero coupon bonds have some unique features that make them effective tools for reaching certain financial goals; however, they are not tax-friendly so use caution.
Zero Coupon Bond A bond that pays no interest. The bond is initially offered at a discount to its redemption value. Top Online Forex Brokers ...
Where the Term Coupon Originated for Bonds Back in the days before computers, when an investor bought a bond, he or she was given a physical, engraved certificate. They would then go lock these in a safe deposit box.
Initially bonds were issued with a book of coupons. When the investor purchases a bond, s/he gets such a book and is required to send the coupons in order to get the interest that has accumulated over the bond.
Coupon Date - this is the date on which the issuer of the bond pays the holder of the bond the interest due on the security. In the U.S., most coupon dates are six months apart.
COUPON RATE - The annual rate of interest payable on a security expressed as a percentage of the principal amount.
Coupon (Coupon Rate) A fixed dollar amount of interest payable per annum, stated as a percentage of principal value, usually payable in semiannual installments. [MORE] ...
Coupon A security's annual rate of interest, expressed as a percentage of the security's face value. Coupon Frequency ...
Coupon Rate - The stated annualized percentage of interest paid on an investment.
Coupon The annual interest paid on a bond, usually stated in terms of the rate paid on a bond's face value. For example, a nine percent coupon, $1,000 bond would pay its owner $90 in interest annually up to maturity.
Coupon: The yearly interest paid on a bond. Bonds are almost always issued with a par value of $1,000, the price they will be redeemed at maturity. So, a 6% bond pays $60 in interest a year.
Coupon: Refers to interest amount payable only for fixed interest stock. Cum Dividend: These are shares that are sold, allowing the buyer to receive the following dividend.
Coupon Rate: The interest rate percentage that an issuer of debt securities promises to pay over the life of the security.
COUPON RATE The stated interest rate on a bond, paid by a corporation or government entity throughout the bond's life. CURRENT YIELD ...
Coupons Certificates attached to a bond that can be redeemed for interest payments at regular intervals. Debenture General debt obligation backed only by the integrity of the borrower. An unsecured bond is a debenture.
Coupon This is a regular payment received by the bondholder over the lifetime of the bond. The coupon rate is expressed as a percentage of the face value of the bond. Covered warrant ...
Coupon The feature on a bond that defines the amount of annual interest income. Coupon Frequency ...
Coupon Interest payment on debt. Cost Budgets Budgets prepared for every major expense category of the firm, such as administrative cost, financing cost, production cost, selling cost, and research and development.
Coupon rate: The annual interest rate of a bond. Current asset: An asset that could be converted into cash within 12 months. Current liability: A liability that has to be paid within 12 months.
Coupon Rate In bonds, notes or other fixed income securities, the stated percentage rate of interest, usually paid twice a year. Covered Call ...
Coupon rate: The annual interest rate of a bond. Credibility: The size of the group and/or the length of time it has been insured with the carrier will determine the degree of weighting which is given to the group’ ...
Coupon: The interest rate paid on a debt security, such as municipal bond. The issuer of the security agrees to pay this coupon rate to the bondholder until maturity.
Coupon The annual interest paid on a debt instrument or bond. The term derives from a time when bonds were issued with a series of detachable receipts or coupons that the bond holder would present to the borrower in order to collect interest.
Coupon 1) The detachable part of bearer stock certificates exchangeable for dividends. 2) The rate of interest on a fixed interest security; a 5% coupon means interest of 5% a year on the nominal value of the security.
Coupon bond - Bond with interest coupons attached. The coupons are clipped as they come due and presented by the holder for payment of interest. (See: Bearer bond, Registered bond) ...
COUPON Annual interest rate associated with capital market bond issues. CRUSHING First stage of mineral processing after mining during which the ore is reduced to smaller pieces.
Coupon Bond - A bond with coupons attached to it that must be physically clipped as they come due and them presented to the issuer of the bond for the payment of interest.
Coupon: This is the interest payment on a bond. It is so called because in the past bond holders had to physically detach a coupon from a bond certificate and present it for payment of interest.
Coupon Rate The periodic interest payment on a security paid by the issuer to the holder. Coupon is quoted as an annual percentage of face amount. Coupon Frequency ...
Coupon Interest paid to the holder of a bond. See Dividend Currency Warrant A warrant based on an underlying Exchange Rate.
Coupon Pass (or Sale): An outright sale of Treasury Coupons (bonds or notes) by the Federal Reserve to primary dealers.
Coupon - The interest rate on a debt instrument expressed in terms of a percent on an annualized basis that the issuer guarantees to pay the holder until maturity.
Coupon - (1) On Bearer Stocks, the detachable part of the certificate exchangeable for dividends. (2) Denotes the rate of interest on a fixed interest security - a 10% coupon pays interest of 10% a year on the nominal value of the stock.
Coupon/coupon rate The interest rate that a bond issuer is obligated to pay the bond holder until the bond matures.
Coupon The stated interest rate on a bond when it's first issued. A $1,000 bond with a coupon of 6% will pay you $60 a year until its maturity. Of course, not everyone holds bonds till maturity.
Coupon Bond Debt security in which the bond certificates come with detachable coupons that must be removed (clipped) and presented either semi-annually or annually for the payment of interest. Coupon Rate The interest rate stated on a bond.
Coupon: The interest rate specified on a bond when it is originally issued. Covered: An investment strategy in which the seller owns the underlying security.
Coupon rate The rate of interest that, when multiplied by the par value, indicates the dollar value of the coupon payment. Cover ...
Coupon Rate: The fixed rate of interest, set at issuance that is paid to bondholders until maturity expressed as an annual percentage of the bond's face or par value. Cover: Buying a security that you had previously sold short.
Coupon bond: A bond in which coupons for interest payment are physically attached to the bond paper. The bondholder must clip the coupons as they come due and present them for payment of interest.
Coupon Definition: The coupon rate is the interest rate on a bond when it's issued. So, for example, if a $1000 bond has a 10% coupon, you'd receive $100 per year in interest.
Coupon Originally, bonds were issued with coupons, which you clipped and presented to the issuer or the issuer's agent -- typically a bank or brokerage firm -- to receive interest payments.
Coupon-equivalent rate See: Equivalent bond yield Coupon equivalent yield True interest cost expressed on the basis of a 365-day year.
Coupon Payment: A coupon payment is the periodic receipt by an investor of interest earned on an investment. For example, the interest paid by the federal government to investors in U.S.
Ex Coupon A stock or bond sold without the right of receipt of the next due interest payment.
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The coupon is the amount the bondholder will receive as interest payments. It's called a coupon because sometimes there are physical coupons on the bond that you tear off and redeem for interest.
See also: Market, Investment, Interest, Stock, Bonds
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