Sentences with phrase «during the life of the bond»

This is why zero - coupon bonds tend to be more volatile, as they do not pay any periodic interest during the life of the bond.

As with other investments, higher risk means higher return in the form of higher interest payments during the life of the bond.

When you buy an individual bond and hold it to maturity, the coupon payment you receive is constant during the life of the bond.

Bonds are debt instruments with fixed terms of repayment and with fixed interest payments made during the life of the bond.

Rating services periodically review the ratings of a company or a government during the life of a bond.

Zero - coupon bonds («zeros») represent a type of bond that does not pay interest during the life of the bond.

The interest payments during the life of the bond are subject to being calculated from a lower principal, but the investor is never at risk of losing the total principal of TIPS if held to maturity.

Zero - coupon bonds provide value to their issuing organization as it eliminates the need for interest payments during the life of the bond, trading the costs of management and overhead for the lower initial selling price.

In return for that money, the issuer provides you with a bond in which it promises to pay a specified rate of interest during the life of the bond and to repay the face value of the bond (the principal) when it matures, or comes due.

Zero coupon bond - a bond that pays no interest during the life of the bond, but is instead sold at a deep discount from its value at maturity

«Zero coupon bonds are bonds that do not pay interest during the life of the bonds.