Canada Premium Bond - CPB

AAA

DEFINITION of 'Canada Premium Bond - CPB'

A debt instrument issued by the Bank of Canada that offers a higher interest rate than a Canada Savings Bond (CSB) with the same issuance date.

INVESTOPEDIA EXPLAINS 'Canada Premium Bond - CPB'

While a Canada Savings Bond is redeemable at any time, a Canada Premium Bond is redeemable once a year. It must be redeemed either on the anniversary of the issue date or within 30 days of it.

RELATED TERMS
  1. Canadian Securities Institute - ...

    Canada's leading provider of professional credentials and compliance ...
  2. Debt Security

    Any debt instrument that can be bought or sold between two parties ...
  3. Bond

    A debt investment in which an investor loans money to an entity ...
  4. Central Bank

    The entity responsible for overseeing the monetary system for ...
  5. Interest

    1. The charge for the privilege of borrowing money, typically ...
  6. Compound

    The ability of an asset to generate earnings, which are then ...
Related Articles
  1. Savings

    Tax-Saving Tips For Canadian Taxpayers

    Find out how to get a bigger return.
  2. Bonds & Fixed Income

    Savings Bonds For Income And Safety

    Bonds offer undeniable benefits to investors, including safety and tax advantages.
  3. Retirement

    Bond Basics Tutorial

    Investing in bonds - What are they, and do they belong in your portfolio?
  4. Bonds & Fixed Income

    How do I calculate yield to maturity of a zero coupon bond?

    Find out how to calculate the yield to maturity for a zero coupon bond, and see why this calculation is more simple than a bond with a coupon.
  5. Bonds & Fixed Income

    Why are bond yields calculated in terms of basis points?

    Find out why financial analysts and publications track and quote bond yields in basis points, or bps, rather than simply stating percentages.
  6. Economics

    Canadian Oil Sands: Only Lucrative At The Right Price

    Canadian oil sands projects are economically viable at oil prices above US$84.99/bbls, and they provide many benefits to the Canadian energy industry.
  7. Trading Strategies

    How risky is it to enter into a debenture agreement?

    Understand the nature of debenture agreements and the inherent risks and clauses that may provide additional protection for bondholders.
  8. Mutual Funds & ETFs

    Eyeing Canada? Look At The iShares ECW ETF

    Canada is interesting place to look for hidden investing treasures. Consider the iShares MSCI Canada (EWC) ETF, but be wary of its oil component.
  9. Personal Finance

    What Are Your Financial Resolutions For 2015?

    The end of a year evokes the inclination to look back, reflect, and resolve to make positive changes, like getting the finances on track once and for all.
  10. Options & Futures

    Writing Covered Calls On ETFs

    The strategy of writing covered calls on ETFs can limit your losses and hedge risk, but they cap your upside potential.

You May Also Like

Hot Definitions
  1. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
  2. Federal Funds Rate

    The interest rate at which a depository institution lends funds maintained at the Federal Reserve to another depository institution ...
  3. Fixed Asset

    A long-term tangible piece of property that a firm owns and uses in the production of its income and is not expected to be ...
  4. Break-Even Analysis

    An analysis to determine the point at which revenue received equals the costs associated with receiving the revenue. Break-even ...
  5. Key Performance Indicators - KPI

    A set of quantifiable measures that a company or industry uses to gauge or compare performance in terms of meeting their ...
  6. Bank Guarantee

    A guarantee from a lending institution ensuring that the liabilities of a debtor will be met. In other words, if the debtor ...
Trading Center