The quick answer to this question is that a stripped bond (or "strip bond") is a bond that has had its main components broken ...
Both types of savings bonds — Series EE and Series I — are "zero coupon," which means they pay interest only when they're redeemed. Savings bonds tend to offer lower returns than stocks and ...
However, the investors can seem perplexed while choosing between a zero-coupon bond or a bond that pays a regular coupon. The coupon equivalent rate is used to simplify the process and allow them ...
Reviewed by Thomas Brock The transformation of convertible bonds into shares of stock is usually done at the bondholder's discretion. Sometimes, the trigger on a convertible bond is share price ...
This means that each interest payment and the final principal payment are treated as separate, individual zero-coupon securities. By dividing the bond into its constituent parts, Strips allow ...
long-duration bonds continue to be an attractive trade for 2025 and beyond. I reiterate my "Buy" rating on PIMCO 25+ Year Zero Coupon U.S. Treasury Index ETF (NYSEARCA:ZROZ), though risk-averse ...