Meaning DEEP-DISCOUNT BOND: A bond issued with a very low coupon or no coupon that sell at a price far below par value. A bond that has no coupon is called a zero-coupon bond
More terms such as Deep-discount bond in Dictionary D.
- Definition Distributing Syndicate:
- Examples A syndicate consisting of a number of brokerage firms or investment bankers that work together to sell and disperse a large lot of securities deep-discount bond definition.
- Definition Designated Order Turnaround System (DOT):
- Examples entry system that allows orders to buy or sell large baskets of stock to be transmitted immediately to the specialist on the exchange, where execution will occur quickly, depending on the basket size deep-discount bond explain.
- Definition Discounted Payback Period Rule:
- Examples An investment decision rule in which cash flows are discounted at an interest rate and one determines how long it takes for the sum of the discounted cash flows to equal the initial investment deep-discount bond what is.
- Definition Debt Limitation:
- Examples A bond covenant that restricts the firm's ability to incur additional indebtedness in some way deep-discount bond meaning.
- Definition Distributions:
- Examples or corporate cash flow. May include dividends from earnings, capital gains from sale of portfolio holdings and return of capital. Fund distributions can be made by check or by investing in additional deep-discount bond abbreviation.
