Coupon Bond

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What is a 'Coupon Bond'

A coupon bond is a debt obligation with coupons attached that represent semiannual interest payments. Also known as a "bearer bond."

BREAKING DOWN 'Coupon Bond'

No record of the purchaser is kept by the issuer, and the purchaser's name is not printed on the certificate.

RELATED TERMS
  1. Coupon

    The annual interest rate paid on a bond, expressed as a percentage ...
  2. Bearer Instrument

    A bearer instrument, or bearer bond, is a type of fixed-income ...
  3. Coupon Rate

    The yield paid by a fixed income security. A fixed income security's ...
  4. Bearer Bond

    A fixed-income instrument that is owned by whoever is holding ...
  5. Current Coupon Bond

    A bond with a coupon rate that is within 0.5\% of the current ...
  6. Ex Coupon

    A bond or preferred stock that does not include the interest ...
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RELATED FAQS
  1. How does the money from the interest on my bond get to me?

    When you buy a regular coupon bond, you are entitled to a coupon, which is typically paid at regular intervals, and the face ... Read Answer >>
  2. If I buy a $1,000 bond with a coupon of 10% and a maturity in 10 years, will I receive ...

    Simply put: yes, you will. The beauty of a fixed-income security is that the investor can expect to receive a certain amount ... Read Answer >>
  3. Why do bond coupon rates vary so greatly?

    Learn about the two major reasons that cause bond coupon rates to vary so dramatically and what role coupons play in the ... Read Answer >>
  4. How does a bond's coupon rate affect its price?

    Find out how a bond's coupon rate influences its price, including the role of government-dictated interest rates and the ... Read Answer >>
  5. How does a bond's coupon interest rate affect its price?

    Find out why the difference between the coupon interest rate on a bond and prevailing market interest rates has a large impact ... Read Answer >>
  6. What is the most common solvency ratios used in fundamental analysis?

    Learn about the difference between a bond's coupon rate and its yield rate, how the coupon rate influences market price and ... Read Answer >>
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