Income Bonds
Bonds issued by a corporation in poor financial condition, interest is paid only if earned by the issuer. These bonds are speculative instruments that pay high rates of interest for its high risks.
Income Bonds - Bonds issued when the ability of the issuing company to pay interest is questioned. They are speculative instruments that pay high rates of interest.
Current income bonds
Bonds paying semiannual interest to holders. Interest is not included in the accrued discount.
REXâ A price index for all fixed-income bonds, debt obligations, and Treasury bills of the German federal government, Treuhandanstalt, and the German Unity Fund.
Of or relating to preferred stock and income bonds on which dividends must be paid in full before any payment of dividends is made to common stockholders.
Income bond - Generally income bonds promise to repay principal but to pay interest only when earned. In some cases unpaid interest on an income bond may accumulate as a claim against the corporation when the bond becomes due.
Adjustment bonds: See income bonds.
ADR: See American Depository Receipt.
Ad valorem taxes: A tax levied "by value," usually used to describe property taxes.
Bonds And Risk
Fixed Income Bonds
Fixed Income Investment
Related Definitions ...
Income bonds that pay interest only to the extent earned are usually dealt in "and interest," which means that the buyer pays to the seller the market price plus interest accrued since the last payment date.
Income Bond - A bond that promises to pay interest only when earned by the firm. Income bonds are typically exchanged for outstanding bonds of a bankrupt company being reorganized. Also known as "adjustment bond." ...
Bond on which the payment of interest is required only when earnings are available. Typically, interest that is bypassed does not accumulate. Income bonds are commonly used during the reorganization of a failing or failed business firm.
accrued interest: Interest accrued on a bond since the last interest payment was made. The buyer of the bond pays the market price plus accrued interest. Exceptions include bonds that are in default and income bonds.
Series A, B, C, D, E, EE, F, I, and J are Discount or accrual bonds, meaning Principal and Interest are paid when the bonds are redeemed. Series G, H, HH, and K are current-income bonds, ...
 See also: Income bond, Income, Stock, Bonds, Investment
  
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