As with other investments, higher risk means higher return in the form of higher interest
payments during the life of the bond.
Not exact matches
When you buy an individual
bond and hold it to maturity, the coupon
payment you receive is constant
during the
life of the
bond.
A zero coupon
bond, on the other hand, is sold at a discount from its face value and the issuer makes no interest
payments during the
life of the security.
Bonds are debt instruments with fixed terms
of repayment and with fixed interest
payments made
during the
life of the
bond.